Herman Trend Alert: Evolving Employee Benefits - aftermarketNews

Herman Trend Alert: Evolving Employee Benefits

From "Herman Trend Alert," by Roger Herman and Joyce Gioia, Strategic Business Futurists

GREENSBORO, NC — One sure sign of a tightening labor market is employers’ willingness to sweeten the pot to aid recruitment and bolster retention of qualified workers. According to a recent employer survey this trend is exactly what happened over the first two-thirds of 2006.

The study, released in August by JobKite.com, indicated that 56 percent of respondents report having made “significant” benefits enhancements during this period. Some benefits changes are fairly typical. For example, 88 percent of respondents supplemented medical benefits and 69 percent enhanced compensation in a variety of areas including increased stock vesting, 401(k) funds, salary relative to market averages, sign-on bonuses, quarterly bonus plans and/or relocation packages.

However, other program changes are less traditional. Forty-one percent of responding companies reported increasing the number of paid days off per year. Thirty-six percent have ventured into alternative working arrangements. Specifically, they are adding or enhancing flexible work schedules or allowing employees to work remotely.

These aren’t random changes. Members of younger generations, most notably Generation Y, those born after 1985, are known for wanting more control over their work lives. The Boomers’ concept of “work-life balance” is irrelevant to the youngest members of today’s workforce. The focus now is “life-work balance.”

A semantic difference to some managers, this issue is of utmost importance to those entering the workforce today. They want to know how their work will enable them to live the types of lives they want to lead. Work to them is an enabler of life, not the reason for it. They define themselves not by what they do during the work week, but what this sacrifice allows them to do outside of it.

Accordingly, the type of benefits and bonuses offered to induce these workers to join and encourage them to stay must change in order to continue to match up with the values they hold.

According to the Bureau of Labor Statistics, nearly 50 percent of the United States workforce will become eligible for retirement by 2012. As older workers retire and the composition of the workforce evolves further, expect more changes in all areas of employer-employee relations.

© Copyright 1998-2006 by The Herman Group of Companies, Inc., all rights reserved. Reproduction for publication is allowed by permission of The Herman Group, Inc., and must include the following attribution: "From ‘The Herman Trend Alert,’ by Roger Herman and Joyce Gioia, Strategic Business Futurists. (800) 227-3566 or http://www.hermangroup.com. The Herman Trend Alert is a trademark of The Herman Group of Companies, Inc.

You May Also Like

Continental, Synopsys Team Up on Automotive Software Development

The collaboration aims to accelerate the development and validation of software features and applications for the Software-Defined Vehicle.

Continental announced a collaboration with Synopsys to accelerate the development and validation of software features and applications for the Software-Defined Vehicle (SDV).

"This new collaboration integrates Synopsys’ industry-leading virtual prototyping solutions for virtual Electronic Control Units (vECU) within Continental’s Automotive Edge (CAEdge) cloud-based development framework. The results are digital twin capabilities for software development that help automakers accelerate software development and speed up their time to market," Continental said.

Epicor Unveils Digital Cataloging, Future Plans

The new catalogs use Epicor-validated, ACES-compliant data and an “Intelligent Search” feature to find the right part quickly.

Epicor digital catalog
Epicor Launches Automotive B2B eCommerce Platform

The Epicor Commerce for Automotive platform features multi-seller support and parts lookups for distributors and their customers.

Epicor commerce for Automotive
Marelli Launches Fuel System for Hydrogen Propulsion Systems

Marelli will present a variety of new technology at the CTI Symposium in Germany, Dec. 5-6.

The Automotive Aftermarket’s Role in a Circular Economy 

Take a deep dive into the factors driving the automotive aftermarket toward a more circular economy.

Circular economy

Other Posts

AI in the Aftermarket: Endless Applications Yet Hurdles Remain

The automotive aftermarket is delving into AI and ways it can help businesses be more productive and effective.

Intellias to Showcase HMI, ADAS and More at CES 2024

The company also will unveil the next generation of its IntelliKit, a portable fully-integrated digital cockpit.

Anyline Partners with Treads to Simplify Car Ownership

Anyline has partnered with Treads, an AI-driven car management subscription service, to enhance analytics for car owners.

Anyline Trends partnership
Unifying Your Parts Technology to Eliminate Channel Conflict

Harmonizing various channels in your eCommerce strategy through unified technology helps build an agile business model.

ecommerce channel conflict auto parts suppliers