In Asia the success of flexible benefits programs hasn’t been as successful compared to mature markets in the west, with the fundamental problem laying in how flex is perceived in Asia. While traditional approaches of implementing flex programs focused on it as a standalone solution, when in reality flex should be viewed as a component of the total rewards framework. This holistic view along with the use of data which not only backs ups any anecdotal assumptions HR may have about how employee engage with the program, but can also be used as a cost containment tool when managed effectively.
Flexible benefit programs can be simple and effective but have not actually been successful in engaging employees because of three key pitfalls:
With the current talent shortage in Asia, cash is no longer king. Employer focus needs to shift away from compensation alone. But the reality is that many employers are still struggling to see benefits beyond just medical, risk (life and disability) and retirement programs.
By HR aligning the needs of the business to the needs of employees and ensuring that this is uniquely branded and communicated, employers will be able to tackle the four reasons why flex programs as failing in Asia outlined in this article.