Tug of War: The Benefits Opportunity Gap
The secular changes occurring to the population will likely have profound effects among many elements of the U.S economy. Perhaps one of the most affected elements will be the workplace, as the balance of power shifts from employer to employee.
Employers have long held the power in the workplace as the relatively large population of Baby Boomers provided employers with an ample supply of workers. This enabled employers to hire the best, keep wages in check and the cost of benefits under control.
Yet, the major employer benefit of the Baby Boomer population is almost exhausted as Baby Boomer workers reach retirement age. The smaller relative populations of successive worker generations are unlikely to take up the slack of the retiring Boomers. As a result, employers will face a much more competitive marketplace for workers than they have in any recent time.
With new found power, employees will assert greater demands on employers with expectations of higher levels of compensation and benefits. In turn, employers will seek to maintain control over wages and benefits. As such, a “tug or war” will surface between employee and employer and will ultimately determine how employers will compensate their workers.
Monster has conducted extensive research among employees and employers to better understand how each views the future of compensation and benefits. This report explores how these views differ while other views are alike. Such insight will help employers better manage the “tug of war’” and, ultimately, hire and keep the best workforce.