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Which Employee Benefits Are Most Important to Employees?

The hiring market is undoubtedly competitive, which is why so many companies have resorted to creating impressive employee benefits packages to help draw in quality candidates.

Recently, companies have started to get creative with the benefits they offer to engage their employees, such as gym memberships and free coffee on site. However, according to a survey done by Fractl, the majority of people in the workforce are most interested in a workplace that offers strong health benefits, time off, and flexibility.

In this article, we’ll break down the top benefits that employees say stand out when looking at new jobs and positions.


When it comes to employee benefits, some hold more value than others in the eyes of employees. While many people enjoy minor perks and add-ons, like free food, the most important benefits can be narrowed down to just a few.




The most valuable benefits that companies offer to people in the workforce are health, dental, and vision insurance. Insurance can be extremely expensive, making these benefits desirable to employees in the job market.

If you’re looking to create an employee benefits program that will stand out against competitors, starting with health, dental, and vision insurance is vital.




Vacation time and/or unlimited paid time off are next on the list of benefits that employees value the most. In today’s workforce, people are highly interested in working with companies that show that they value their employees’ work-life balance.

Many companies have adopted progressive policies, such as unlimited vacation and unlimited paid time off. As surprising as this may sound, these policies have been shown to improve employee retention.

Employees who work for companies with unlimited vacation or PTO policies report being happier, more loyal, and less stressed at work. In addition, employers report getting better results from their employees while on the job. Finally, companies say that offering these benefits reduces administrative costs and eliminates vacation liability costs.




The pandemic has changed the way we work forever. Flexible and remote work is no longer taboo, and some employees prefer it. Not everyone has gone back to the office, and those who have are often only there a few days of the week.

Flexible and remote careers not only allow people to work for companies that may not be located nearby, but also make life easier for employees with busy family schedules and those who are stressed about commuting. Additionally, flexible work hours and remote work without differential pay may help close the gender wage gap.


While PTO, insurance, and flexible work options are the most popular benefits with employees, there are still plenty of other benefits that may entice employees to your open positions.


With over 43 million people riddled with federal student debt, employee benefits assistance in this area is highly important to many people in the workforce.

However, student debt assistance isn’t a common addition to a benefits package (only 17% of companies nationwide offer it). Adding student loan assistance to your employee benefits program may help you stand out against competitors.


College tuition is getting more and more expensive. While only 4 to 5% of companies offer student loan assistance, 92% offer some kind of educational assistance, such as tuition reimbursement.

Tuition assistance helps employees go back to school and continue their education to further their careers.




The United States, Papua New Guinea, and a few island countries in the Pacific Ocean are the only countries in the United Nations that don’t require companies to provide paid time off to employees who are new parents.

Paid family leave can entice a large percentage of the workforce who are looking to make a job switch. Even if a candidate is not immediately planning to have children, they may want assurance that their workplace cares about families, including their current children and other family members they may need to care for.


Many employees and employers agree that mental health resources are essential to include in employee benefits packages. Mental health was already a major concern before the pandemic, and there has been a large increase in mental health challenges since then.

Offering mental health services as a part of an employee benefits program shows employees that their company cares about their well-being. In addition, it shows that their employers are dedicated to providing the support they may need.




While there is certainly a hierarchy of benefits that are important to people in the workforce, plenty of other less crucial benefits yield great results when included in an employee benefits package.


Some large-scale companies have the luxury of including on-site gyms and fitness centers. However, this isn’t possible for most companies. For that reason, many companies have begun to include memberships or classes into their employee benefits package.

Gym memberships and fitness classes can reach hundreds of dollars per month, making this one of the most valued benefits outside the core benefits mentioned in this article.


Employees with small children often have to send their children to daycare. Offering free daycare in an employee benefits package can draw thousands of qualified applicants, and it can be a major factor in some employees’ decisions about where to work.

About 40% of all family households in the United States have children under the age of 18. That leaves thousands of children needing care while their parents are at work, especially younger children who may not be old enough for school.

Many women and plenty of men consider free daycare important when considering a job. It is a benefit that hundreds of thousands of employees could gain from.


While free food and coffee don’t seem nearly as important as some of the other benefits listed above, there is evidence that offering free treats has more of an effect than you would think.

While about 56% of Americans claim to be happy at their job, that number jumped to 67% for people given free food and coffee at work.

According to sources, free food shows employees that their company values their health, happiness, and well-being. It also shows that the company understands the need for employees to take time for themselves away from their desks throughout the day.


Does your employee benefits program need a lift? An experienced consultant may be able to help you create a package that will attract and retain the quality employees you need for your business to succeed.

If you want help creating a stand-out employee benefits program, get in touch with an LG consultant today to see how we can assist you.


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