Benefits and Job Perks
Benefits and Job Perks
Overview
Benefits are a critical part of any tech professional’s compensation package. This focus has become more critical than ever in a year where tech satisfaction is at an all-time low and nearly half of tech professionals are seeking to leave their current organizations. A solid benefits package can entice a tech professional to leap to a new position... or stick with their old role.
This chapter explores not only what benefits tech professionals value most, but also how leading organizations are building their benefits strategies to attract and retain top talent. We will examine which benefits drive the highest satisfaction rates, where the most significant gaps exist between employee expectations and current offerings, and how different demographic groups respond to different benefits packages. For tech professionals, you can use this data to help shape your benefits package; for example, if you are interested in flexible scheduling or mental health programs, you can tell your manager that these benefits are increasingly standard (even if they have declined year-over-year).
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Even though salaries have increased on average in 2024, companies seem to be scaling back valuable benefits, as fewer tech professionals report receiving them year over year.
The gap between desired and offered benefits continues to grow.
Just as many tech professionals received a bonus in 2024, though bonus amounts have decreased by $817 on average.
Remote work has become increasingly critical for job satisfaction, yet companies are rolling back these options.
The Widening Gap In Employee Benefits
Among full-time employees, traditional benefits, such as health insurance, PTO offerings, dental coverage, and retirement benefits, saw slight declines across the board in 2024, reversing a long-standing trend of stable or expanding offerings. More significant declines were seen across less common benefits. For example, tech professionals who received training and education coverage from their organization in 2024 dropped 6 percentage points. Financial advising, paid volunteer opportunities, flexible scheduling, mental health programs, and college tuition reimbursement all lost ground as well, at a four percentage point year-over-year decline.
Perhaps the most telling is the current state of professional development opportunities in an environment where upskilling is key to career growth for tech professionals. While 71% of tech professionals consider training and education opportunities an important benefit, only 41% report having access to these opportunities through their employer. This 30-point gap represents one of the largest disconnects between desired and offered benefits in our study. If you are a tech pro interested in training, bring it up with your manager, because you might be quite pleased with their reaction; every company wants employees with the latest and greatest skills.
The Benefits Employees Have vs. Those They Find Important
Remote Work Remains A Battleground
Remote work is a critical factor in job satisfaction in 2024, yet our data shows companies are moving in the opposite direction when it comes to employee preferences. Remote scheduling options decreased by 3 percentage points in 2024, while flexible scheduling arrangements fell by 4 points.
This pullback comes despite clear evidence that flexible work arrangements remain highly valued, particularly among specific demographic groups. Our data shows that tech professionals with children in their household are more likely to have and utilize remote and flexible scheduling options. The reduction in these offerings may disproportionately impact working parents and could influence retention rates among this demographic. If working remotely for at least part of the week allows you to juggle professional and family obligations, and your employer suddenly wants you back in the office full-time, would you stick around in your current role?
26% of tech professionals rank remote work options in their top two benefits
The State of Performance Pay for Tech Workers
Bonuses seemed to take a hit as well in 2024, though the full story is more nuanced than the numbers first suggest. At first glance, the drop in professionals receiving bonuses, from 39% in 2023 to 31% in 2024, looks alarming. However, this year's study included a larger proportion of consultants (15% versus 9% in 2023) and fewer full-time employees. When we focus solely on full-time tech professionals with more than one year in their current role, the bonus rate holds steady at 39%, matching last year's levels.
However, even accounting for this demographic shift, bonus amounts tell a concerning story. Among those who received bonuses, the average amount decreased by $817 compared to the previous year.
Merit raises also showed a troubling trend. While these increases historically served as a reliable path to compensation growth, only 36% of tech professionals received a merit raise in 2024—down from 41% in 2023. This signals a potential shift in how companies approach performance-based compensation, even when controlling for employment type.
Did you receive a bonus this year?*
2024 Survey Results
2023 Survey Results
*Rebased to only include tech professionals with more than one year in their current role.
Average Bonus for Tech Professionals
2024 Survey Results
2023 Survey Results
What Benefit Trends Mean for 2025
As we move into 2025, tech professionals should continue to insist on robust benefits packages. The argument here is simple: better benefits lead to a happier workforce, which boosts retention and productivity. With companies desperate to attract and hold onto top talent, especially in cutting-edge arenas such as artificial intelligence and cloud computing, good managers will likely be receptive to tech pros’ benefits requests and be willing to at least meet them halfway.
Which of These Benefits do you Consider Important?
Recruitment Opportunities for 2025
Demand Comprehensive Benefits
Don't settle for a bare-bones benefits package. Advocate for health insurance, retirement-plan matching, and generous time-off policies if those aren’t already on offer. Your well-being is essential to your productivity and job satisfaction, and companies want to keep their most valuable tech professionals happy.
Prioritize Professional Development
Seek out opportunities for continuous learning and skill enhancement. If your employer isn't providing adequate training, consider taking online courses, attending conferences, or pursuing certifications on your own. Better yet, ask your employer to cover the tab for training; you’ll find many companies have the budget to send you to class.
Embrace Remote Work
Flexible work arrangements offer numerous benefits, including improved work-life balance and increased productivity. If your employer is considering reducing remote work options, voice your concerns and advocate for policies that support your needs. Show your employer that you’re perfectly capable of working remotely while maintaining a high standard of productivity.
Demand Recognition and Rewards
Your hard work and dedication deserve to be acknowledged. Seek out opportunities for recognition and rewards, and don't be afraid to negotiate for raises and promotions. You get what you ask for.