Study Finds Mismatch Among Employers and Workers Regarding Benefits

Both employers and employees agree that financial stress is the primary employee concern—but a Prudential Survey finds employers underestimate how much employees struggle living paycheck to paycheck.

Reported by James Van Bramer

A growing divide separates what employees say they need from their workplace benefits and what employers provide, with everyday financial stress emerging as a top concern for U.S. workers, according to a recent Prudential Financial study. 

The 2025 Benefits and Beyond study, shows that while 75% of employers surveyed believe their benefit offerings support retirement savings, only 35% say those same benefits help alleviate immediate financial pressures such as the cost of groceries, housing and generally making ends meet. 

Among employees surveyed, 45% said saving for retirement was their top challenge. Other top concerns were the cost of everyday goods at 44%; housing at 29% and making it to their next paycheck at 26%. 

“Employees want benefits that go beyond traditional coverage and more completely address how they live and work,” said Michael Estep, president of Prudential Group Insurance, in a statement. “The workplace is at a tipping point, and there’s so much at stake for employers.” 

The study also reported a perception gap between employers and employees. While 86% of employers believe they are offering modern benefits, just 59% of employees agree. And although 97% of employers claim employee well-being is a priority, only 69% of employees said they felt that way. 

Employees are also increasingly interested in benefits that improve their work/life balance. For example, 41% of employees said they favored four-day work weeks and 23% supported time off for new pet owners, similar to paternity leave. 

However, among employers, some 35% considered a four-day work week optimal and 17% supported time off for new pet owners.  

The study, conducted via national online surveys, included responses from 2,946 full-time employees and 750 employers. 

Prudential Financial Inc. manages approximately $1.5 trillion in assets as of December 31, 2024. Prudential Group Insurance distributes a range of insurance for use within employee and membership benefits plans. 

Tags
financial stress, Survey,
Reprints
To place your order, please e-mail Industry Intel.