Take your pick: 82% of companies prioritize benefit choice for employees

And 24% indicated their key priority for providing choice is to attract and retain talent.

According to a release, while Asia Pacific is behind the global curve when it comes to offering employees choice in their benefits, Singapore stands out as one of the region's most progressive markets. Responding to Mercer's Asia Pacific Total Health and Choice in Benefits 2011 Survey of nearly 900 employers, 77% of Singapore-based companies without a Flex program said they support giving employees choice, overshadowing the 61% average for the region.

The key driver motivating 48% of Singapore employers to consider implementing a choice program is to better meet the needs of their employees, with 82% saying this is one of their top three priorities. 24% indicated their key priority for providing choice is to attract and retain talent.

With 92% of Singapore employers feeling the impact of the "war for talent" and wanting to cater for an increasingly diverse workforce, many see the benefits that a Flex program has to offer. 65% of those without a program would like to implement Flex within the next three years. For those that already have a Flex program, 90% say it has met their original objectives and 95% plan to continue their program.

Singapore organizations with Flex say it has helped them gain a competitive advantage, allowing them to address people-related challenges including workforce diversity, attraction and retention. Flex programs can also help contain rising benefits costs, harmonization of legacy benefit arrangements and more.

However, it's not just employers who see the benefits of choice. Mercer's proprietary Inside Employees' Minds survey of almost 1,000 Singapore-based workers shows how strong the desire is among employees for flexibility in their benefits. 62% of the respondents said that benefits are very important in influencing motivation and engagement at work, while 45% said benefits play a significant role in their decision to join an organization. 48% said it would influence their decision to stay in their organization.

A similarly high percentage (46%) said they would welcome choice in determining their own benefits mix, and 45% indicated they would be willing to use some of their own money to pay for benefits that are important to them. This reflects a growing trend whereby more Singapore-based companies are adopting flexible benefit schemes that provide employees with benefits they value, while addressing critical business issues such as diverse workforce needs and employee engagement.

Too good to be true? Key inhibitors preventing organizations from adopting Flex are also shared by those with a Flex program - cost and complexity of administration. While 36% of those with a program say cost is their greatest ongoing challenge, 50% of those without a program perceive cost to be the greatest inhibitor to adopting Flex. Similarly, 27% of Flex adopters are challenged by the complexity of administering their program, while 22% without a program are deterred by the perceived level of administrative complexity. This could be primarily due to resource constraints within their own organizations.

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Tags: Singapore Flex program, Mercer's Asia Pacific Total Health and Choice in Benefits 2011 Survey