Employers Maintain Level of Work Life Assistance

October 13, 2005 (PLANSPONSOR.com) - In spite of the volatility of the economy, employers haven't cut back on work-life programs, practices, and policies.

Moreover, the Families and Work Life Institute’s 2005 National Study of Employers (NSE) found slight cutbacks that were a function of the amount employers pay toward the benefits that cost them money, such as health insurance, disability insurance, and retirement plans.

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Employers report that it is for business reasons that they maintain support for employees managing work and personal life balances. Forty seven percent say they offer work-life assistance to recruit and retain valuable employees. Another 25% say they use work-life benefits to enhance or improve productivity. Thirty nine percent of respondents in the study cited helping employees and their families as a reason for maintaining work-life programs.

The NSE found a couple of cases where the flexibility employers offer their employees has increased. In comparing a previous study in 1998, the NSE found that 24% of employers in that year allowed employees to change their starting and quitting times on a daily basis, while 31% of employers in 2005 do so.

Other work-life enhancements found by the study include:

  • Fathers are allowed longer leaves for the birth of their child: 14.5 weeks in 2004, compared to 13.1 weeks in 1998.
  • More employers offer Employee Assistance Program (EAP) assistance geared toward parents of teens: 0% in 1998, 5% in 2005.
  • Thirty four percent of employers offer information regarding elder care assistance to their employees, compared to 23% in 1998.
  • More employers provide health insurance for domestic partners: 21% in 2005, 14% in 1998.

Work-life cutbacks revealed by the survey include:

  • Fewer employers offer defined benefit pension plans in 2005 (41%) than in 1998 (48%).
  • Fewer employers contributed to employees’ retirement plans: 81% in 2005, compared to 91% in 1998.
  • Fewer companies offer full pay for new mothers on leave: 27% in 1998, 18% in 2005.
  • Thirty seven percent of employers reported shifting more health care costs to employees in the last two years.
  • Fewer employers (7%) pay for family health care in 2005 than did in 1998 (12%).

In addition, the study found that it was the smaller employers who tended to offer the most as far as work-life benefits.

A copy of the study is here .

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