Providing employee benefits such as flexible work arrangements and extra paid parental leave will lead to increased productivity and retention of talented staff, a MetLife Australia survey has found.

The life insurer says the findings from its 2020 Employee Benefit Trends Study show the importance of looking after staff wellbeing, an area that companies should focus more on in the wake of the coronavirus pandemic.

The online survey of more than 300 businesses and 1000-plus workers over two months from August to September confirms a correlation between workplace benefits and the way employees feel towards their employers.

About 57% of workers say the support they received during the pandemic last year has made them more loyal to their companies. Some 78% say they feel more engaged and 83% more productive as a result of the employee benefits that have been provided to them.

“There was an obvious relationship between level of benefits on offer and the level of support employees felt from their employer,” MetLife Australia Chief Customer and Marketing Officer Chesne Stafford said. “The more benefits an employee was offered, the more likely they were to say they felt supported during the pandemic.

“The competitive and wellbeing advantages to be gained from increasing benefits during times of crisis are clear, providing a strong business case for employers looking to maintain a competitive edge over the long-term in tough market conditions.”

According to the survey, the “must have” employee benefits include flexible work arrangements; professional training, development and certification; extra personal/carer’s leave, employee assistance programs; and extra paid maternity/parental leave.

In other findings from the survey, four in ten employees say they aren’t getting any support from their employers and one in three claim their employers do not offer any mental health programs that address their needs.

About 70% of employers say mental health is the most important aspect of employee wellbeing because of COVID-19 while four in ten workers say financial concerns are the main driver of mental ill health.

Click here to download the report.