Six in ten young professionals want more financial support from their employer to manage rising energy bills, according to new research.
Figures from employee benefits provider Zest found that half (51%) of workers aged 18-34 are also concerned about increasing housing costs, while 42% want additional financial support for childcare.
The findings come as household bills are set to rise again, with Water UK announcing that average water bills in England and Wales will increase by 26% from April, pushing annual costs beyond £600.
Financial Benefits Becoming a Deciding Factor in Job Moves
With living costs continuing to rise, younger employees are placing greater emphasis on workplace benefits. Two-thirds (67%) say benefits packages are now a key factor in job decisions, while more than half (56%) would leave their current job if another company offered a better package.
Employers that fail to adapt to these expectations could struggle with retention, Zest warned. The company said that organisations able to offer relevant financial support could gain a competitive edge by boosting morale and productivity.
“The latest spike in bills will pile more pressure on household finances – employers have a vital role to play in offering enhanced financial support to their employees,” said CEO Matt Russell.
“Right now, it’s clear that employees are favouring financial support to ease the pressure of rapidly mounting costs. Organisations that are able to meet employee demands around reward packages can boost morale and productivity, providing them with a competitive edge.
But Russell added that employers should make sure they had “access to benefits technology that enables them to track the uptake on specific benefits, communicate with employees to understand their needs and adapt support as needed”.
What Young Employees Want from Employers
With financial worries growing, workers are prioritising benefits that provide direct financial support. More than half (52%) of young professionals say benefits packages are the most important factor they consider when looking for a job.
The findings reflect wider research showing that employees expect greater financial support from their workplaces. A recent survey by wellbeing platform Reward Gateway found that 62% of workers believe their employers could do more to help them manage the cost-of-living crisis.
To address these concerns, employers may need to adapt their offerings. Commonly sought benefits include:
- Flexible working arrangements, allowing employees to reduce commuting costs
- Salary sacrifice schemes, helping employees allocate pre-tax income towards savings or benefits
- One-off financial bonuses to assist with immediate cost pressures
- Financial wellbeing programmes, offering guidance on budgeting, saving, and financial planning
With younger employees increasingly factoring benefits into their career choices, experts say organisations that fail to adapt risk losing talent to competitors offering better support.