Home BenefitsHealthcare, retirement benefits remain top priorities as flexible work offerings dip: SHRM survey

Healthcare, retirement benefits remain top priorities as flexible work offerings dip: SHRM survey

by HR News America
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Health coverage and retirement planning remain at the forefront of U.S. workplace benefits, while flexible work arrangements have seen a modest decline, according to new survey results released by the Society for Human Resource Management (SHRM).

SHRM’s 2025 Employee Benefits Survey found that 68 per cent of organizations offer flexible work options, a slight drop from previous years. While the decline was modest, the report notes this could signal changing attitudes as employers reassess post-pandemic workplace strategies.

“Employers must leverage data-driven insights to design benefits strategies, balancing flexibility, well-being, and skill development,” said Alex Alonso, SHRM’s chief data and analytics officer.

Health benefits still dominate

Eighty-eight per cent of employers ranked health benefits as either extremely or very important—the highest among all offerings. That category included new trends like GLP-1 drug coverage, with 23 per cent of employers offering support for medications used to manage Type 2 diabetes and weight.

Retirement savings options also remain widely offered. Traditional 401(k) plans are available at 93 per cent of responding organizations, while 76 per cent now provide Roth 401(k) options, a three-point increase from 2024.

Professional development and elder care needs in focus

The survey points to a growing emphasis on leadership development, with 47 per cent of employers offering coaching or similar programs, up from 44 per cent last year.

At the same time, support for elder care remains limited despite the aging workforce. Just 13 per cent of organizations provide elder care referral services—a figure unchanged from previous years.

Resources related to employee well-being have dropped significantly. In 2025, only 39 per cent of employers offer wellness programs, down from 53 per cent in 2021. SHRM attributes the decline to shifting priorities and budget constraints, even as mental health and overall well-being continue to be areas of concern in the workplace.

For the first time, SHRM’s annual benefits survey asked employers about the role of artificial intelligence in shaping benefits decisions. While results related to AI adoption were not quantified in the public release, SHRM noted that technology is increasingly intersecting with workplace flexibility, skill development and wellness strategies.

Survey methodology

The results are based on 3,969 responses from SHRM members across the United States. The online survey was conducted from Jan. 21 to March 10, 2025, and includes data from organizations of all sizes and sectors. Members can access an online benchmarking tool with five years of historical data, while non-members can review a summary version of the findings.

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