What Top Benefits Leaders Are Seeing Now: A Cross-Sector Perspective

In a shifting labor market that is beginning to favor employers over employees, benefits leaders are evolving their strategies to balance cost, competitiveness, and employee expectations. We spoke with three senior leaders accountable for benefits strategy and design from large, global organizations about how they see employee benefits evolving: one from a Fortune 50 publicly traded consumer business with over $80 billion in revenue, another from a privately held, family-owned $40 billion business services organization with 36,000 employees, and a third from a privately held, $2 billion organization with 2,500 employees. 

1. The Latest Benefits Trends

As the pendulum swings back toward employers following a post-COVID employee-driven market, most companies are doubling down on benefits they already offer instead of introducing new perks. A private sector benefits leader shared that while trending benefits generate buzz, employees still prioritize solid offerings around the basics – medical, dental, and retirement plans. In particular, they mentioned the recurring request for immediate access to healthcare – a need that emerged during the COVID era that has shown staying power. Similarly, a public sector benefits leader noted that while few entirely new benefits are emerging, expectations are rising for enhancements or increased investment on the company-side – especially around fertility coverage.  

2. Strategies for Attracting and Retaining Talent

For attracting and retaining talent, benefits strategies differ based on ownership model. At public companies, experiential benefits like lifestyle spending accounts (LSAs) and student loan support are especially appealing to younger talent, while competitive compensation and equity remain key to retaining senior leaders. In contrast, privately held firms focused more on attracting executives lean heavily on long-term incentive plans (LTIPs), executive health programs, and 401(k) enhancements to drive retention and engagement. 

3. Benefits Being Reevaluated

Some previously trending offerings are losing traction, but they vary from business to business. One private company cited GLP-1 drugs, which are costly and have limited reach, and long-term care insurance as two benefits that are on the chopping block. Another expressed skepticism about wellness programs, noting that few are delivering measurable impact. The public company leader took a more neutral view, suggesting that niche benefits like pet insurance still have value – particularly when offered as optional or employee-paid add-ons rather than core benefits. 

4. Tracking How Benefits Stack Up

To determine how their offerings compare with the market, all three leaders conducted annual benchmarking, relying on industry-specific data provided by consulting firms or brokers. Both the public and private firms described how benchmarking data was key for evaluating the efficacy of their benefits strategy. One firm sought to offer top or near-top of the market benefits as a mechanism for attracting top talent, while the other aimed to provide solidly mid-market offerings as a way to ensure that culture was the key driver for attracting talent, not benefits. 

5. Private vs. Public Perspectives on Benefits Strategy

Private company leaders noted that in comparison to public organizations, they often have more flexibility to tailor benefits, in particular executive offerings. This flexibility, in addition to “selling” a more personal, less bureaucratic employee experience, are critical for competing against the highly attractive equity offerings provided by large public companies. The public sector leader, meanwhile, highlighted the structural rigor and board-level oversight that comes with being publicly traded. Their benefits decisions must always align with fiduciary responsibilities and any changes come with significant financial scrutiny, requiring approval from executives and the board. 

To keep up with evolving expectations in today’s employer-driven market, benefits leaders are rethinking their offerings without entirely reinventing their approach. While developing benefits packages for public and private companies may require slightly different strategies, one theme is clear: the most effective programs are those that align with employee needs and reflect company values.