Building effective workplace cultures through employee benefits

Flexibility, family and fairness: building cultures of belonging

In a landscape of hybrid and remote work, flexibility has become synonymous with inclusion. Enhanced maternity leave (offered by 80 per cent of employers), enhanced paternity leave (71 per cent) and childcare vouchers (57 per cent) are now the norm in many organisations, not the exception. These are not just family-friendly policies – they are crucial to building a culture that reinforce fairness and empathy.

The inclusion of buy/sell holiday schemes, flexible bank holidays, and even birthday leave, illustrates how autonomy is now a valued cultural currency. These offerings tell employees: “We trust you to balance your life and your work.”

This matters more than ever. With many employees balancing personal responsibilities, especially with the increase in unpaid carers, benefits are being tailored to support those with caregiving duties. Research highlighted by Personnel Today shows nearly half of working carers experience declining mental and physical health due to their dual roles. Offering flexibility and carers’ leave is both a cultural imperative and a strategic necessity.

Wellbeing and belonging: making culture tangible

While culture is often described as how things are done in a certain organisation, it also encapsulates how people feel working there. This is where health and wellbeing benefits come into play, not just for physical support, but for cultivating emotional safety and shared purpose.

• 72 per cent of employers offer optical care
• 68 per cent provide private medical insurance (PMI)
• 65 per cent have wellbeing portals or initiatives

In addition to these, organisations are introducing more creative and impactful options, including mental health apps, counselling services, free mole checks, digital GP access, and mindfulness platforms like Headspace. These go beyond treatment; they encourage preventative care and everyday wellbeing – a clear sign that culture is being built not only in moments of crisis but through everyday choices.

Social connection through purpose-driven benefits

One of the most powerful but often overlooked benefits is the opportunity to connect with others through shared purpose. Volunteering allowances (offered by 37 per cent of employers), “Give as You Earn” schemes (40 per cent) and community leave days serve more than CSR: they build human connection and trust within teams.

For example, volunteering days not only allow employees to give back – they can also create team-building experiences that strengthen workplace relationships. In an age of hybrid work and digital fatigue, these kinds of benefits help reconnect people on a personal level.

As highlighted during Loneliness Awareness Week (9 – 15 June), the paradox of modern work is becoming more obvious: technology has made us constantly connected yet emotionally isolated. Data from Gallup's State of the Global Workplace Report 2024 revealed one in five employees feel lonely at work. This staggering number is a cultural red flag. Volunteering schemes and culture-focused benefits offer antidotes to loneliness by helping employees form bonds around meaningful causes.

Recognition and non-monetary benefits: culture in everyday moments

90 per cent of respondent employers offer non-monetary benefits, which include:

• Peer-to-peer recognition platforms
• Long service awards
• Birthday leave and “My Important Day” schemes
• Informal appreciation and ad-hoc rewards

These are daily reinforcements of culture, especially in dispersed teams where ‘watercooler moments’ are rare. Whether it's a “thank you” card, a sabbatical policy, or paid fertility leave, these offerings represent how organisations support their people when it matters most.

Total Reward Statements are an effective way to bring visibility to the full value of what an organisation offers its employees. By providing a clear, personalised overview of both financial and non-financial benefits – such as pensions, annual leave, recognition schemes, and wellbeing support – they help employees better understand the total package they receive beyond just salary. This transparency not only improves appreciation of the benefits on offer, but also strengthens the psychological contract between employer and employee, reinforcing the organisation’s investment in its people.

When employees can see what is available to them and how they are engaging with it, they are more likely to feel valued and motivated. Recognition-based cultures, underpinned by well-communicated rewards, have been shown to drive higher levels of engagement, retention, and morale.

Financial wellbeing as a cultural priority

With the cost-of-living crisis continuing, financial insecurity is emerging as a key source of employee stress. Leading employers are responding by embedding financial wellbeing into culture through:

• Retail/high street discounts (70 per cent)
• Reimbursement of professional membership fees (67 per cent)
• Gym memberships (40 per cent)
• Instant recognition awards
• Free mortgage advice and interest-free tech loans

These benefits support employees’ lifestyle, career growth and financial resilience – three pillars of an empowering work culture. Some employers are also offering salary sacrifice schemes for electric vehicles, flexible pensions, and cashback health plans. They combine sustainability, practicality and inclusiveness – all qualities that define a values-led culture.

Best value-for-money benefits that strengthen culture

What makes a benefit high-impact does not always require high spending. Survey respondents identified several low- or no-cost benefits that deliver exceptional cultural and engagement value:

• Flexible working and hybrid models
• Recognition schemes
• Volunteering days
• Cycle-to-work schemes
• Free food, gym access and on-site facilities

These affordable benefits go far in creating a culture where people feel seen, supported and valued.

Looking ahead: a culture-first approach to benefits

Organisations are increasingly aligning their benefit strategies with culture-building goals. Planned additions over the next year include:

• Expanded mental health and fertility support
• Enhanced parental and carers leave
• New volunteering initiatives
• Financial coaching and digital benefits platforms
• Sustainability benefits like tree-planting and green investment options

Meanwhile, underused or unsustainable perks like certain childcare schemes or high-excess healthcare plans are being reviewed or phased out in favour of flexible, inclusive and culture-reinforcing alternatives.

In a world where employee experience directly impacts business success, benefits need to reflect an organisation’s culture and values. They define how a company treats its people and how it wants to be remembered.

Get in touch

This year’s Reward Management Survey shows that employers that treat benefits not just as costs – but as investments in culture, connection and engagement – are seeing the returns. These organisations are building cultures where people do not just show up to work: they belong. In a time when so many feel disconnected, overlooked or fatigued, creating a strong sense of belonging is among the greatest benefits of all. Contact us to discuss your approach.