Fidelity Investments survey finds majority of workers believ

 

Saturday, Mar 14,2009, 3:15:44 PM   Click:

Copyright: Business Wire
Source: Business Wire
Wordcount: 817


Business Editors

Marlborough, Massachusetts - (BUSINESS WIRE) - March 13 2009 - Fidelity Investments Consulting Services, today announced the results of a study 1 worker sentiment that found that 72 percent of people believe that the benefits they are at work as well or better than what most other companies offer. However, most believe the value of benefits has declined, with 61 percent of workers reporting that they are paying more benefits, but less or same as they did in 2007.

Most workers interviewed underestimated the cost of the provision of employer health insurance for employees. A majority (53 percent) believe that their employers pay less than $ 5,000 per year per person to provide health insurance. In fact, the health plans of employers, which cost between $ 5,000 to $ 15,000 per employee on an annual basis.

"Health care benefits are critical to most employees, yet many do not understand how costly it is for companies to provide these services," said Brad Kimler, Executive Vice President of Loyalty Services Consulting business. "In the current economic climate, these data suggest that employers have much to gain from the establishment of a broader dialogue with employees about the value and cost of all benefits and compensation programs."

In the study, workers cited health insurance, retirement savings plan matching contributions and dental insurance as the three most important benefits, with health insurance ranking as No. 1.

Nearly half believe the benefits of not being tied to employers in the future

The study found that nearly half of American workers surveyed (48 percent) believe that their benefits, including health insurance, retirement savings and pensions will not be provided by their employer 10 years.

The study found that 30 percent of workers surveyed believe they will be responsible for obtaining their own profits in 2019, 18 percent think the government will provide benefits, 28 percent think that employers continue to provide benefits to their workers, and 24 percent are unsure. However, the benefits are so critical to employees today that one in four said they work more to receive the accompanying benefits of receiving income.

Despite many employees provide for a future in which health care and other benefits would not be bound to their employer, eight out of 10 respondents still choose health care benefits provided through their work rather than receiving a payment in cash to manage their own health care needs.

If the face of unemployment, Six out of ten housing No. 1 Concern

When asked what their biggest concern would be if they were to lose their current job, 57 percent of workers surveyed said they would be able to pay their rent or mortgage. The loss of health insurance ranked No. 1 for 25 percent of workers. Pay living expenses for others - including child care - would be the top concern for 6 percent of workers. Pay the debt would be more important to another 6 percent of the survey.

Paying or saving for college is the biggest worry of 1 per cent of workers. Another 3 percent of employees would be most concerned about having to support their retirement savings and 2 percent had no concerns if they were to lose their jobs today.

Methodology

Data for the Consulting Services survey were collected 7-13 January, 2009 by the independent firm Market Research Synovate and is based on responses from a national sample of 676 adults who have employer-provided of health insurance and work in companies with at least 100 employees.

Fidelity's Consulting Services

Fidelity's Consulting Services helps firms to medium and large employers at the national level to assess the effectiveness of their benefit programs. The company offers a comprehensive approach to benefits design, strategy, finance, communications and delivery of research, customer care, health and pensions before the diagnosis of business solutions. The specialties of pension and health care consulting, data management, compliance, employee communications and human resources processing. Consulting Services has offices in Marlborough, Massachusetts, New York City, San Francisco, Chicago and Dallas.


About Fidelity Investments

Fidelity Investments is one of the largest providers of financial services, with custodied assets of over $ 2.5 trillion, including managed assets of over $ 1.2 trillion as of 31 January 2009. Fidelity offers investment management, retirement planning, brokerage, and human resources outsourcing services to 24 million individuals and institutions as well as through financial intermediaries 5500 companies. The company is the largest mutual fund company in the United States, the No. 1 provider of workplace retirement savings plans, mutual funds the largest supermarket and a brokerage online. For more information about Fidelity Investments, visit www.fidelity.com.

Fidelity Brokerage Services LLC, member NYSE, SIPC

300 Puritan Way, Marlborough, MA. 01752

518439.2.0

1 Survey conducted Jan 7-13, 2009 by Synovate, and included only adults with employer-provided health insurance



This is an information service of Thomson Business Intelligence Service © 2006. This content is only for your personal use, subject to the terms and conditions. No redistribution allowed.