Chamber Survey Says Workers Receive More Job Benefits

WASHINGTON, D.C. - The United States Chamber of Commerce today reported that employee benefits comprised more than a third of company payroll costs in 2001, up slightly from the previous year. The Employee Benefits Study surveyed 400 companies and revealed that medically related payments were the most expensive and the most common benefits offered.

"The percentage of benefits employees received in 2001 increased despite a slow economic recovery," said Bruce Josten, Chamber executive vice president. "The increase in benefits shows that employers have continued to make benefits a priority and recognize the importance of benefits in retaining employees in their companies."

Benefit costs averaged 39 percent of total payroll costs among employers surveyed, a four percent increase from the previous year (37.5 percent). The most common benefits offered by employers include health insurance, paid vacation, holiday benefits, and retirement and life insurance benefits.

In addition, medical benefits accounted for 11 percent of total gross payout, the largest share of employee benefit costs. Compensation for time off followed closely as the second-largest share of benefits cost to employers, averaging just over ten percent of payroll costs, followed by retirement and savings plan shares, which accounted for an average of eight percent of payroll.

The Chamber has conducted such studies, which are widely used for benchmarking and documenting employee benefit costs, for more than 50 years.

The U.S. Chamber of Commerce is the world's largest business federation, representing more than three million businesses of every size, sector and region.

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03-13