Closing the Gap: How to Benchmark Your Benefits Against Top Employers

It’s no secret that a great benefits package is essential in a tough job market. If you want to attract top talent, the benefits you offer must be competitive. But how can you actually determine if the package you offer is attractive in the first place? For leaders and HR executives, understanding how your benefits stack up against industry leaders can make the difference between building a thriving workforce and watching great talent slip away.

Why Benchmarking Benefits Matters

Employees today expect more than just a paycheck. They want comprehensive packages that reflect their personal and professional needs, from flexible working arrangements to paid leave to mental health support. Benchmarking your benefits against top employers allows you to:

• Identify gaps in your offerings.

• Stay competitive in a talent-driven market.

• Improve employee satisfaction and retention.

  
  

By understanding how your benefits compare to those of leading organizations, you can prioritize investments that result in the greatest impact.

Despite what you may think, benchmarking doesn’t have to be an overwhelming process.

Here’s how:

1. Assess Your Current Benefits

Start by taking a step back and reviewing what you currently offer, including health insurance, retirement plans, paid leave, wellness programs, and any perks or incentives. Take note of:

• Scope: What exactly is included in each benefit?

• Participation: How many employees are using it?

• Costs: What are you spending per employee?

  
  

2. Identify Benchmark Data Sources

Find reliable data on what top employers are offering. Consider sources such as:

• Industry-specific surveys and reports.

• Public filings from large corporations.

• Networking groups and HR forums.

• Consultants or third-party benchmarking tools.

  
  

CARRY™ Consulting specializes in helping companies benchmark against leading employers in their industry.

3. Compare and Analyze

Match what you offer against the benchmarks. And be sure to pay close attention to areas like:

• Health Benefits: Do your plans cover what’s most important to employees, such as telemedicine or family planning services?

• Paid Leave: Are your policies competitive with leaders in your industry?

• Workplace Flexibility: Are you meeting or exceeding expectations for remote and hybrid work options?

  
  

Take note of areas where you’re ahead, on par, or lagging behind the competition.

4. Gather Employee Feedback

Your employees are your best source of insight into what benefits matter most. Use surveys, focus groups, or 1-on-1 conversations to:

• Understand what they value.

• Identify any unmet needs.

• Gauge satisfaction with your current offerings.

  
  

Maybe you currently provide discounts on gym memberships, but your employees would find more value in fertility or adoption benefits. Knowledge is power.

5. Develop an Action Plan

Now that you’ve gathered benchmark data and employee input, you can prioritize updates to your benefits package. Consider factors like cost, ease of implementation, and the potential impact on recruitment and retention.

Examples of impactful updates might include:

• Expanding mental health resources.

• Increasing parental leave.

• Providing student loan assistance programs.

  
  

6. Communicate 

Once you’ve made changes, it’s time to announce! Since you want your employees to engage with your new offerings, prioritize clearly communicating updates through multiple channels, like emails, team meetings, and your intranet. But don’t stop there. Gather feedback and measure the impact to refine your offerings over time. Make improving your benefits package an ongoing process.

Then take it a step further. In the interest of recruiting top talent in the future, publish a press release announcing your new and improved benefits.

Benchmarking your benefits requires consistent attention and adaptation. By staying informed and proactive, you can close the gap between your offerings and those of top employers, positioning your organization as a workplace of choice.

Let's Take the Next Step Together

Helping companies to get impactful feedback from their employees and benchmark their offerings against the competition is at the heart of the CARRY™ Consulting process. Book a consultation with CARRY™ Consulting today to assess your benefits and start driving real change in your organization.