New Industry Solutions for a Changing World
The workplace is rapidly evolving, with changes largely driven by digital technologies. But despite the emphasis on tech, the future of work will actually be more human-centric – making flexible employee benefits more important than ever. By focusing work around human needs, companies can not only enhance productivity but also foster a more inclusive and diverse workforce.
These were among the insights shared at the recent Old Mutual Thought Leadership Forum, where experts from across the retirement industry and employee benefits space shared their views on the trends shaping the New World of Work.
‘Digital automation is enabling work to be built around human needs,’ said Samad Masood, Associate Vice President, Infosys Knowledge Institute at Infosys. ‘This will ultimately lead to more diverse talent and flexible work styles, creating a thriving work culture that encourages fresh ideas and well-being.’
Masood’s comments came as he presented findings from the Infosys Knowledge Institute’s global The Future of Work 2023 report, which surveyed 2 500 senior executives from large firms across 12 industries in six countries. Its findings were supported by the Old Mutual Workplace Benefits Primary Research, powered by LIMRA, which covered 1 520 employees, representative of South Africa’s diverse income splits, and 503 South African employers, covering small, medium and large enterprises.
Masood emphasised that companies that focus on flexible working, employee wellness, diverse skill sets, automation and enablement through digital tools can add an estimated 7.7 percentage points to their profit growth and 6.7 percentage points to their revenue growth. And while 65% of senior executives are increasing remote working to attract or retain talent, this isn’t enough on its own.
‘Organisations will need – and are carrying out – a combination of initiatives to engage employees and drive talent attraction,’ Masood said. ‘Our research discovered that employee engagement is enabled by both the benefits that they are offered as well as the level of digital modernisation and automation that their employers were delivering.
‘The overlap and opportunity is clear,’ he said. ‘By improving digital access and experience of benefits platforms and services, employers can supercharge the attractiveness of their organisations to employees.’
However, the 2024 Old Mutual Workplace Benefits Primary Research, powered by LIMRA, found that South African employers tend to overestimate how satisfied their employees are with the benefit packages they offer – and many are not meeting all their requirements. The research found a significant correlation between employee satisfaction with their benefits package and employee satisfaction at work.
‘The good news for employers is that 84% of employees surveyed stated that they are satisfied with the employee benefits they receive; 70% are very satisfied,’ said Lindiwe Sebesho, Managing Director of Remchannel. ‘Employee satisfaction with benefits is strongly related to the number of benefits offered, employee understanding of these benefits and how effectively employers communicate benefit information to employees.’
Employers named retirement savings plan (92%), medical aid (73%), group funeral cover (68%), group life cover (63%), employee assistance programmes (61%), and financial advice (60%) as their top five. Employees, meanwhile, ranked theirs as medical aid (98%), retirement savings plan (95%), employee assistance programmes (80%), health/medical insurance (77%), and mental health benefits (75%)
Understanding the similarities and differences between those priorities is key to winning the sector-wide war for talent, Sebesho said. ‘The new world of work compels organisations to rethink their employee value propositions and how they attract and retain talent,’ she said.
One of the most important findings of the 2024 Old Mutual Workplace Benefits Primary Research was that males and older employees (45-plus years) are relatively loyal to their companies, while females and younger employees (under 45s) are at the most risk of leaving their current employer.
Some 67% of females either said they would like to leave as soon as possible and are currently looking for a new position (42%), or they are not in a real hurry to leave but are actively looking for a new position nonetheless (25%). Meanwhile, 54% of men said they are happy where they are – either for the short term (13%) or for a long time to come (41%).
How, then, should employers look to retain those mostly young, mostly female employees who are looking for new pastures? Old Mutual’s research found that 82% of employees are inclined to stay with their current employer because of their benefits package.
‘Each employee is a different individual, with unique preferences,’ Masood concluded. ‘Companies that acknowledge this and go the extra mile to personalise the experiences that they provide to their staff – whether it is through individual learning programmes or flexible benefits – will have an upper hand.’
Click here to download the Mindspace Thought Leaders Forum publication
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