The 2025 Drewberry Employee Benefits And Workplace Satisfaction Survey

69% Of Employees Are Happy In Their Jobs

Happy employees are productive employees, so it’s good to see the majority of employees feeling positive about their current job.

Most Employees Are Happy In Their Current Workplace

To kick things off, it’s heartening to see that most employees are feeling happy in their current role. With a similar figure to last year (68%), 69% of surveyed employees said that they’re “very” or “somewhat” happy in their current workplace.

However, that leaves nearly 1 in 5 people feeling unhappy at work. Seeing as happy workers are 12% more productive, it’s a nudge for employers to start prioritising staff happiness.

Good Relationships With Colleagues And Work-Life Balance Are Most Important For Happiness

Much akin to last year, positive working relationships and good work-life balance top the list of what makes employees happy. Cultural factors appear to be the most important ahead of generous salaries and bonuses which come in sixth:

• 70% said good relationships with colleagues makes them happiest
• 68% said good work-life balance
• 55% said trust to manage their own workload
• 46% said recognition of efforts
• 43% said support from leadership and management.

Low Pay Is Main Cause Of Unhappiness

While pay may not be the #1 cause of happiness, it’s the main driver for dissatisfaction if it’s too low. When it comes to what makes employees unhappy, the top reason was low salary (49%), followed by:

• Poor leadership / strained relationship with manager (42%)
• Lack of recognition (40%)
• Bad internal communication (40%)
• Uneven work-life balance (38%).

It’s interesting to note cultural factors such as recognition are topping the list. Studies show that when recognition happens frequently and in meaningful ways, it positively impacts a number of business outcomes. In fact, employees are 8x more likely to feel a strong sense of belonging, and 5x times more likely to want to stay with the company for two years or more.

Plus, when a culture of appreciation exists, burnout is 87% less likely among UK employees, reducing rates of absenteeism. Given that the majority of employees told us they’re stressed (more on that later), making small but meaningful changes to your workplace culture can have a profoundly positive impact on your business.

Happy employees are the goal, but achieving it isn’t always easy. It takes careful planning and effort from your leadership to ensure a positive experience for employees at every stage of their career.

Bernadette Briggenshaw
Director of Client Delivery

Happy Teams Don’t Happen by Accident

A happy workforce is the key to higher productivity and lower staff churn. It takes daily actions and self awareness to truly engage employees: and it’s down to you to build a culture of support, empowerment, and appreciation.

Scheduling regular pay reviews, offering valuable benefits, and even something as simple as saying “thank you” can make a huge difference to morale, along with challenging them with meaningful projects that stimulate and grow their skills.

The data shows that keeping employees happy isn’t just about more money, so if you can’t afford big salary raises, it’s important to get the other aspects right.

Employees Are Stressed, And It’s Impacting Their Work

Despite overall high levels of happiness, stress remains a constant companion for UK employees, and it’s not just limited to office hours. Whether it’s within or outside the workplace, employees are feeling the pressure – and it’s affecting their productivity and wellbeing.

Workplace Stress Remains High

A large proportion of the UK workforce is stressed, with 90% of employees saying they feel stressed at work.

• 56% stated they “sometimes” feel stressed at work
• 26% said they “frequently” feel stressed
• 8% said they feel stressed “all the time”.

Excessive Workload Is Main Cause Of Workplace Stress

So what’s causing the stress within the workplace? The answers point to cultural and managerial shortfalls:

• Excessive workload (50%)
• Lack of support (24%)
• Lack of recognition for efforts (24%)
• Feeling stuck in their job (24%)
• Poor company culture (21%).

Persistent stress isn’t good for your employees’ health. Alongside the core wellbeing concerns, it can have a significant impact on your business operations, in the form of reduced productivity, increased absenteeism, high turnover, and negative workplace culture.

Nadeem Farid
Head of Health & Wellbeing Benefits

Majority Of Employees Are Stressed Outside Of Work Too

It’s not just the workplace where employees are feeling the pressure. 84% are stressed in their personal lives too.

• 65% feel stressed “sometimes”
• 17% feel stressed “frequently”
• 13% “never” feel stressed
• And 2% feel stressed “all the time”.

Money Worries are The Top Cause Of Stress Outside Work

84% of employees report feeling stressed outside of the workplace, with the top three causes remaining largely unchanged from last year:

• 41% said worrying about money made them the most stressed
• 40% said “family issues”
• 36% said “thinking about work”.

Delivering Real-World Value Through Benefits

In a time where the cost of living is high, helping your employees save some money through their benefits can go a long way. There are a number of benefits that help staff save some pennies in one way or another, including:

• Employee Discount Schemes
  Provides staff with savings on everyday purchases. From groceries, clothes and homeware to travel and technology, employees can end up saving hundreds of pounds a year. Read more about Employee Discount Schemes
• Salary Sacrifice Schemes
  Allows employees to swap part of their gross salary in exchange for a non-cash benefit, like a pension contribution or a new bicycle. The amount is taken from their gross salary, which then reduces the National Insurance contributions for both you and the employee. These schemes are ideal for helping employees with larger purchases that might otherwise be out of budget for them. Read more about Salary Exchange.

Stress Is Negatively Impacting Work Performance

Even in the most positive workplaces, stress can quietly chip away at employee wellbeing. From tight deadlines to rising living costs, today’s workforce is feeling the pressure and it’s showing. With the majority of employees admitting stress is impacting their performance at work.

80% of employees reported that workplace stressors impact their productivity or performance to some extent.

And it’s not just work-related pressure. 69% of employees also admitted that personal stress affects their performance at work.

Better Pay And Benefits Top Request For Reducing Stress

So what can employers do to tackle workplace stress and keep productivity high? We asked employees what actions would help reduce the pressure:

• 50% said better pay and benefits would mitigate their stress
• 33% said greater recognition of efforts
• 29% suggested better communication
• 28% said flexible hours / working patterns
• 28% said better support from management.

We understand the solution isn’t as simple as just upping staff pay, but your wider Total Reward offering can help tackle employee stress and unhappiness.

It’s important to communicate the value of your entire benefits package to your team. Some employees may be tempted to take another job just for a higher salary, not taking into account the rewards they’d be losing. In some cases, they could end up worse off due to not understanding the worth of their benefits (including their Workplace Pension).

As an employer, you can benchmark your pay and benefits to ensure your offering is in line with competitors, and highlight any gaps in your rewards package. Learn more about employee benefits benchmarking.

Nick Nelms
Senior Consultant, Employee Benefits

Why Employee Stress Is Everyone’s Business

Stress is a major issue for UK employees, both at work and in their personal lives. Heavy workloads, lack of support, and poor company culture are among the biggest workplace stressors, while money worries and family issues add to the pressure outside of work. With most employees admitting that stress affects their performance, businesses need to step up.

Prolonged stress can increase absenteeism, leading to poor motivation and a negative impact on your workplace culture. Pay reviews, more recognition, clear communication, and flexible working options are just some of the ways you can tackle stress for your team. Taking action to reduce stress won’t just improve employee wellbeing – it will also lead to a happier, more productive workplace.

53% Of Employees Are Open To Switching Jobs In The Next 12 Months

While the numbers are lower than last year, high stress levels and feelings of being “stuck” have left employees open to leaving their current job in the next 12 months.

Majority Of Employees Are Ready To Leave Their Job

When asked if they plan to leave their current job within the next 12 months, 33% said they would if the right opportunity arises, and 20% said “yes” regardless. Considering the high levels of workplace stress and lack of support from managers, it’s not entirely surprising that people are looking for a change.

Better Pay Is The Biggest Draw For Changing Jobs

What’s making employees consider jumping ship? When asked what would make them leave their current job for another, the top reason by far was better pay, with 63% seeking a pay rise. This was followed by:

• Better work-life balance (37%)
• Career progression (36%)
• Better benefits (32%)
• Flexible/hybrid working patterns (27%).

Generous Pay Is Top Factor For Jobseekers

When asked “what are your key priorities when it comes to an employer?”, an overwhelming 71% said good salary, followed by:

• Positive working environment (65%)
• Flexible / convenient working hours (53%)
• Good benefits package (41%)
• Good office location/environment (40%).

It’s no surprise that pay is at the forefront of most employees’ minds. With money worry being the top cause of stress outside work, financial stability is more important than ever in 2025.

Will Your Top Talent Stay or Go?

The survey results highlight a clear trend – employees are ready to move on, and better pay is the biggest motivator. With workplace stress at an all-time high and financial worries topping personal stressors, it’s no surprise that salary, work-life balance, and career growth are driving job changes.

If you want to retain your top talent, you need to take proactive steps. Offering competitive pay, better benefits, and a supportive work environment isn’t just a perk – it’s a necessity. If you don’t meet these expectations, you risk losing your best people to companies that do.

You can’t bank on employee loyalty in 2025. Your top talent knows their worth and are ready to move for the right opportunity. By understanding what rewards employees actually want, you can make relevant adjustments to stop them from going elsewhere.

Joe Toft
Senior Consultant, Employee Benefits

Employees Are Divided On Wellbeing

Wellbeing presents a mixed bag for employers in 2025. While employees are impressed in some areas (such as sick leave support and mental health care), others are lacking.

1 in 5 Don’t Feel Their Employer Is Committed To Their Wellbeing

Employees are divided when it comes to whether their wellbeing is a priority. When asked if they feel their employer is committed to their wellbeing, only half of respondents agree:

• 38% said they’re “somewhat committed”
• 23% said either “somewhat” or “very” uncommitted
• 12% said their employer is “very committed”

Most Employees Feel Supported By Employer When Absent

It’s heartening to see employees feeling supported in difficult times. When asked how supported they felt by their employer during times of sickness absence, 69% said they felt supported to some degree:

• 34% felt “very well supported”
• 35% felt “somewhat supported”
• 18% did not feel supported at all.

However, that’s almost 1 in 5 employees who feel they’ve received no support during an already tough time. As a pre-emptive measure, consider surveying your team to understand what good support looks like to them.

31% Don’t Feel Comfortable Raising Their Mental/Physical Health With Their Employer

Health stigma can manifest if it’s treated as taboo, so while it’s positive to see that 63% of employees feel comfortable discussing their wellbeing with their employer, almost 1 in 3 people could be struggling in silence:

• 21% said they’re “very comfortable”
• 42% said they feel “somewhat comfortable”
• 31% said they’re “not comfortable”.

Is your workplace a safe space for those struggling with their health? Are your managers equipped to deal with employees who do come forward? What about your benefits? If you provide products such as Group Life Insurance or Group Private Medical Insurance, these often come with a suite of free wellness benefits for your team to use – but only 17% of employees know about and use them.

It’s crucial to nurture a sense of safety and security for your team so that smaller issues don’t become bigger problems.

Employee wellbeing is crucial for maintaining a productive and positive work environment. By offering comprehensive wellbeing benefits, you show your employees that their health and happiness are a priority.

Group Private Medical Insurance, Corporate Health Cash Plans, and Employee Assistance Programmes are all valuable perks for employee wellness.

Danielle Bines
Consultant, Employee Benefits

Financial Wellbeing Needs Attention

Employee wellbeing conversations can often overlook one of the most important pillars of stability: financial wellbeing. While some employers may not feel like employee finances are their responsibility, we’ve seen that worrying about money is the leading cause of stress, often impacting productivity and work performance.

When asked how long they could survive on their current savings, 26% said they would survive less than a month, while a further 26% said that could survive for six months or longer. That’s a huge divide. Seeing as pay is the one of the biggest drivers for seeking a new role, it’s worth assessing any pay disparity within your organisation.

Offering financial education to your team is a good opportunity to support and engage them. By becoming money-savvy, your people can make informed decisions which help them achieve their financial goals.

Why A Genuine Commitment To Wellbeing Pays Off

The results reveal a mixed picture of employee wellbeing in 2025. While many workers feel supported in areas like sick leave and mental health, there’s a clear divide when it comes to whether employers truly prioritise their wellbeing.

Financial wellbeing stands out as a major concern, with a significant portion of employees struggling to save beyond a month. Given that money worries are a leading cause of stress and a key reason employees seek new jobs, businesses can’t afford to ignore this issue.

Employers who genuinely commit to wellbeing – across mental, physical, and financial health – will not only build a more engaged workforce but also improve retention and performance in the long run.

What Employees Want Vs What They Receive

Considering the importance of benefits in attracting and retaining top talent, it’s concerning to see that fewer employees than ever are truly satisfied with their current benefits package.

Only 12% Of Employees Are Truly Happy With Their Benefits Package

How do employees really feel about their current benefits package? When asked, only 12% responded with “very satisfied”. This has dropped further from those we surveyed last year, where only 13% were fully satisfied.

• 33% said “somewhat satisfied”
• 23% are neither satisfied or dissatisfied
• 17% said “somewhat dissatisfied”
• 12% said “very dissatisfied”.

Note that 23% of employees said they’re neither satisfied nor dissatisfied with their benefits. If you’re paying for benefits that people don’t appreciate or aren’t bothered about, it’s probably time to take action.

If your people aren’t engaging with their benefits, you need to find out why, and what you can do to change it. Conducting pulse surveys and benchmarking your employee benefits are the most effective ways to do this, along with improving communication – ensuring your people are aware of and understand the value of their rewards.

Remote/Flexible Working And Enhanced Pensions Are The Most-Offered Benefits

We asked what benefits they currently receive, remote/hybrid working topped the list, followed by:

• Enhanced pension contributions (33%)
• Flexible working hours / flexitime (30%)
• Salary Sacrifice schemes (22%)

Employees Want More Flexibility, Reduced Hours, And Bigger Pensions

It’s good to see some crossover between what’s being offered and what employees really want. When asked which benefits they’d most want their employer to offer, flexibility and reduced hours reigned supreme:

• Flexible working hours/flexitime (42%)
• Reduced working week (i.e. 4-day week) (39%)
• Enhanced pension contributions (37%)
• Remote/hybrid working (36%)

While remote/hybrid work is widely offered, there is a significant demand for flexible working hours and a four-day work week, which remain largely unmet. Employers prioritising flexibility could gain a competitive edge.

Small Increases, Big Rewards: The Case for Boosting Pensions

We’re also excited to see enhanced Workplace Pension contributions making the top three most-wanted benefits. Pensions may not be the most “exciting” benefit, but it goes to show that financial stability is a priority for employees. In fact, our 2025 Workplace Pensions Survey found that 58% of employees would take enhanced contributions over other benefits, and 25% would be open to it, depending on the benefits. Not only this, but 48% would pay more into their pension if employer matched it, and 40% would consider it if they could afford it.

It’s easy to overlook the huge difference just a small pension increase can make to the size of a retirement pot. For instance, someone in their 20s saving an extra 1% a year (matched by their employer) could increase the size of their retirement pot by 25%! So perhaps forego the costly bars and lunches, and instead invest in perks that bring work-life balance and long-term security.

Private Health And Dental Cover Are In Demand, But Underprovided

Employees highly value Private Health Insurance (32%) and Dental Cover (20%), but access remains limited. Of those surveyed, 15% receive Health Insurance and only 6% enjoy Dental Cover. Employers investing in better healthcare benefits could improve satisfaction and wellbeing.

While Private Health Insurance is high on the wishlist, a group policy can be out of budget for many smaller businesses. In this instance, a Health Cash Plan is a useful alternative.

Corporate Health Cash Plans are designed to support the cost of routine healthcare, offering a set yearly budget for different treatments which employees can then claim back. Workers with this benefit are able to prioritise their wellbeing, preventing minor issues from escalating into problems that require sick leave. Read Colette’s Cash Plan case study.

Cash Plans are a win-win for both employee and employer. When I was suffering with migraines, I was able to book an optical appointment with peace of mind that most of the cost would be covered.

Now I’ve got brand new specs while being more productive at work. This is exactly what Health Cash Plans are designed for – to tackle health issues before they become a bigger problem.

Colette Hagan-Young
Senior Content Writer

Employee Satisfaction Starts with Better Benefits

The results highlight a gap between what employees want from their benefits and what they actually receive. With only 12% fully satisfied, it’s clear that many feel their current packages fall short – particularly in flexibility, reduced working hours, and healthcare coverage.

If you want to stay competitive and improve satisfaction, you need to offer relevant benefits, communicate them effectively, and ensure employees understand their value. A well-structured benefits package isn’t just an added perk – it’s a crucial factor in attracting, retaining, and supporting a happy workforce. See how your benefits stack up.

Employers Need To Improve Benefits Communication

Communication is one of the most important factors when it comes to employee engagement, yet most workers are left in the dark when it comes to being told about their rewards.

Only 11% Of Employees Receive Regular Communication About Their Benefits

When asked “how regularly does your employer tell you about your benefits?”, only 11% said they received regular communication:

• 34% said they “sometimes” receive communication
• 25% said they never receive benefits communication
• 22% said they were only told about their benefits upon joining the company.

Simply letting employees know about their benefits once isn’t enough. For employees to take action, they statistically need to see a message three to five times. Without regular communication, your staff aren’t likely to engage with what’s on offer.

As an employer you need to have a well-planned communication strategy that outlines when, where, and how you’ll deliver messages about your benefits.

Fewer Employees Understand Their Benefits

If benefits aren’t being communicated properly, it’s no surprise that there’s a lack of understanding. Compared with those we surveyed last year, employees’ general understanding of their benefits has dropped from 44% to just 36%. When asked “do you understand your benefits and how to use them?”:

• 46% said they “somewhat understand”
• 36% said they “fully understand”
• 10% admitted they don’t understand.

Do you understand your benefits and how to use them?

Coupled with the drop in satisfaction of benefits, employers may need to provide better education and communication around their rewards.

Out of Sight, Out of Mind: The Perks Employees Are Missing

One of the most valuable, but often overlooked, aspects of benefits such as Life Insurance and Company Private Health Cover is the suite of (often free) benefits that are available with the policy. Designed with wellbeing in mind, employees can access services such as Virtual GPs and bereavement support – often completely free of charge.

However, many employees simply aren’t using them. When asked whether they were aware that workplace benefits such as Life Insurance, Income Protection, and Private Health Insurance include these added perks, 37% said they weren’t aware of them.

• 37% “No, I wasn’t aware”
• 30% “Yes, but I don’t use them”
• 17% “Yes, I know about and use them”

Among those who were aware of the additional benefits but hadn’t used them, the most common reason given was: “I don’t think they’re relevant to me.” 39% either said that they’d forgotten about them, didn’t know how to access them, or simply didn’t realise they had them.

Of those who did utilise these benefits, the most popular by far was the Virtual GP service.

Given that 90% of employees told us they’re stressed, these benefits are an untapped resource which could be helping them to cope better. And when you consider almost half of employees either forgot or didn’t know they have access to these additional benefits, it highlights a huge gap in communication. These services are often free, and are designed to help tackle smaller issues before they become a larger problem. If you already offer group insurance products, are your people aware of the full value?

Good Benefits Mean Nothing If No One Understands Them

Poor communication is a key issue when it comes to employees’ satisfaction with their benefits. With most employees unaware of their full benefits or unsure how to use them, the resulting lack of engagement means many valuable rewards go unused.

Seeing as only 12% of employees say they’re truly satisfied with their benefits, could poor communication be a contributing factor to their dissatisfaction? Is it the case that many employees have good benefits, but just don’t know about or understand them?
Communicating employee benefits to your staff is crucial. Even employers with the best reward packages can fall flat at this stage. So if your team isn’t aware of their benefits or how to use them, their value is essentially lost.

Workplace Satisfaction In 2025: Our Conclusion

This year’s results send a clear message: employees are under pressure — and many are prepared to leave if their needs aren’t met. Despite widespread job satisfaction, stress remains high, financial insecurity is growing, and too many employees are disengaged from the benefits meant to support them.

Only 12% are truly satisfied with their current benefits, and communication is a major barrier. Most don’t fully understand what’s available, and valuable perks are going unused as a result. At the same time, flexibility, enhanced pensions, and wellbeing support are rising rapidly up employees’ wish lists.

The risk for employers is clear: fail to engage your workforce with meaningful, well-communicated benefits, and you risk losing your top talent. But the opportunity is just as powerful.

Get Help Reviewing Your Benefits

By regularly reviewing your benefits, listening to what your people value, and making smart, tax-efficient enhancements like Salary Exchange, you can reduce stress, boost satisfaction, and position your business as an employer of choice. In 2025, a strong benefits package isn’t a ‘nice-to-have’ — it’s a business-critical tool for resilience, retention, and growth.

Setting up and maintaining a competitive employee benefits package requires a decent bit of admin, which quickly becomes time consuming. We do the heavy lifting for you, giving you more time to focus on what matters.

If you need help setting up group insurance or reviewing existing cover, give us a call on 02074425880 or email help@drewberry.co.uk.

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