“Employees don’t see these as perks. They see them as part of what they were promised as total compensation when they took the job,” a benefits and employment law attorney said.
Massive employers Deloitte and Zoom recently came into the spotlight for their decisions to cut worker benefits.
At Deloitte, a group of workers will see parental leave, PTO, pensions and IVF funding scaled back starting in January, Business Insider reported. Meanwhile, Zoom reduced the number of weeks offered as paid parental leave.
As more power shifts to employers, hiring remains tight and healthcare costs continue to soar, where exactly does the employee value proposition stand?
Erin McAuley, chief people officer at Springline Advisory, an accounting and advisory services firm, said the changes aren’t surprising.
“Firms are definitely under real pressure right now between cost structure and our workforce models, client expectations,” she said.
But she urged caution.
“Benefits aren’t perks, really; they’re signals to people,” McAuley said. “When you think about them as signals — and signals [of] how people translate their value — you have to be very cautious about the different decisions that you’re making.”
The main thing, she said, is to consider how any benefits changes will land with employees.
“You’re going to see that show up in your profitability and the economics of your business,” McAuley said. “People risk it hitting their pocketbook in lots of different ways, both in the cost of...
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