IDS HR StudyPlus 811, December 2005

Flexible benefits

• Considers the various stages involved in the design and implementation of a flex scheme
• Identifies the benefits typically included
• Highlights the importance of an effective communications strategy
• Summarises some of the pros and cons of salary sacrifice arrangements
• Features case studies of seven organisations that have recently introduced or revised their flexible benefits schemes
• Includes a guide to suppliers section, detailing the services offered by 16 flexible benefits consultants

A flexible benefits scheme is more likely than a fixed package to meet the diverse needs and requirements of today’s workforce. The advent of salary sacrifice and easier administration mean that more employers than ever are considering the concept of flex as a way of differentiating their reward offering from those of competitors. Flex is also used by many organisations seeking to harmonise terms and conditions following an acquisition or merger.

The design and implementation of a new flex scheme can be a major undertaking and may take several months to complete. The StudyPlus examines the main stages of such a project, from deciding how the scheme will operate and which benefits will be included to drawing up the employee communications strategy.

Seven detailed case studies explore why a range of organisations introduced flexible benefits, how they implemented their schemes and what administrative solutions they adopted. The content of the flex menu at each company, how the benefits are funded and a breakdown of the most popular choices among employees are also covered.

This StudyPlus also features a Guide to suppliers active in this field, detailing the services they offer and giving an indication of how they would work with a client to deliver the different phases of a flex project, including design and implementation. A checklist of the key issues for employers to consider when selecting a flexible benefits consultant is also provided.

What’s in this StudyPlus?

This 76-page publication includes the following sections:

Overview

• Building flexibility into benefits provision

Analysis

• How flex operates
• The benefits menu
• Enrolment options
• Scheme administration
• Communications strategy

Company practice

Seven detailed case studies of the flexible benefits schemes at:

• LogicaCMG
• Ofcom
• Emap
• Lloyds TSB
• The Beardmore Conference Hotel
• Greene King
• Adult Learning Inspectorate

Guide to suppliers

• How technology is transforming the market
• Checklist of key issues when selecting a flexible benefits consultant
• Details of the services offered by 16 specialist suppliers