1. SHRM Survey Findings: Employee Benefits in California—Leveraging Benefits to Recruit Employees
April 23, 2014

2. Introduction
This is part five of a series of SHRM survey findings examining employee benefits in the workplace of California organizations.
The following topics are included in the six-part series titled Employee Benefits in California:
Part 1: Wellness initiatives
Part 2: Flexible work arrangements
Part 3: Health care
Part 4: Leveraging benefits to retain employees
Part 5: Leveraging benefits to recruit employees
Part 6: Communicating benefits
Employee Benefits in California—Leveraging Benefits to Recruit Employees ©SHRM 2014

3. Definition
For the purpose of this survey, the term highly skilled employees is defined as employees with skills that are critical to the short- and long-term success of their operating unit or the organization.
Employee Benefits in California—Leveraging Benefits to Recruit Employees ©SHRM 2014

4. Key Findings for Recruiting Employees at All Levels California
Leveraging Benefits to Recruit Employees at All Levels of the Organization
Do organizations leverage their benefits program to recruit employees? Thirty percent of organizations in California reported having difficulty recruiting employees; one-third (33%) indicated leveraging their benefits program to recruit employees.
What benefits offerings have been leveraged to recruit employees? Similar to the overall findings, health care (85%) and retirement savings and planning (61%) still remain the top two benefits that organizations in California most frequently leverage to recruit employees. These benefits are followed by flexible working benefits (39%), leave benefits (38%), and professional and career development benefits (37%).
What benefits offerings will increase in importance to help recruit employees in the next three to five years? Organizations indicated that retirement savings and planning benefits (69%), health care benefits (62%), and flexible working benefits (62%) are the benefits that will increase in importance the most with respect to recruiting employees in California.
Employee Benefits in California—Leveraging Benefits to Recruit Employees ©SHRM 2014

5. Key Findings for Recruiting Highly Skilled Employees California
Leveraging Benefits to Recruit Highly Skilled Employees
Are organizations leveraging their benefits program to recruit highly skilled employees? Although more than one-half (54%) of organizations in California indicated having difficulty in recruiting highly skilled employees, only 35% reported leveraging their benefits program to recruit these applicants.
What benefits offerings have been leveraged to recruit highly skilled employees? Health care (73%) was the benefit most frequently leveraged to recruit these employees in California. Compared to the overall findings, many benefits were leveraged less frequently by organizations in California, with the largest difference of 15 percentage points for flexible working benefits (40% in California, 55% nationally).
In the next three to five years, what benefits offerings will increase in importance to help organizations recruit highly skilled employees? In 2013, HR professionals in California organizations indicated that retirement savings and planning benefits (70%) and heath care (63%) would be the most important benefits to leverage during recruitment.
Employee Benefits in California—Leveraging Benefits to Recruit Employees ©SHRM 2014

6. What do these findings mean for the HR profession?
California organizations use benefits as a recruitment tool at a higher rate than the rest of the United States (33%, compared with 26% nationally). Those are not significant rates, but many recruiters now advocate using a “total rewards” approach to attracting new employees, and they encourage leveraging an employer’s benefits package as part of that strategy. HR professionals cannot always use higher salaries as a draw for new talent because wage growth has been weak in the post-recession economy.
With medical costs on the rise and many workers unprepared financially for retirement, HR professionals should consider leveraging health care benefits and retirement savings and planning benefits as part of their recruitment strategy. Even with some uncertainty surrounding health care plans in connection with the Patient Protection and Affordable Care Act, HR professionals should view this benefit, if offered at their employer, as a valuable tool for attracting workers.
Several studies have shown that members of the Millennial generation, or those born between 1982 and 2002, place high value on flexible work schedules and managing their own time. Many HR professionals have recognized this trend: 40% of California organizations and 55% of organizations nationally leveraged flexible working benefits to recruit highly skilled employees in If this benefit is offered at their employer, HR professionals should highlight this aspect of their overall benefits plans as a tool to attract younger, talented workers to their organizations.
Employee Benefits in California—Leveraging Benefits to Recruit Employees ©SHRM 2014

7. Leveraging Benefits to Recruit
Employees at All Levels of the Organization
Employee Benefits in California—Leveraging Benefits to Recruit Employees ©SHRM 2014

8. Over the past 12 months, has your organization had difficulty recruiting employees at all levels of the organization?
Note: Respondents who answered “not sure” were excluded from this analysis.
Employee Benefits in California—Leveraging Benefits to Recruit Employees ©SHRM 2014

9. Over the past 12 months, has your organization leveraged your benefits program to recruit employees at all levels of the organization?
Note: Respondents who answered “not sure” were excluded from this analysis.
Employee Benefits in California—Leveraging Benefits to Recruit Employees ©SHRM 2014

10. Which of the following benefits has your organization leveraged to recruit employees at all levels within your organization?
Note: Only respondents whose organizations leveraged their benefits program to recruit employees at all levels within the organization were asked this question. Respondents who answered “not sure” were excluded from this analysis. Percentages do not equal 100% due to multiple response options.
Employee Benefits in California—Leveraging Benefits to Recruit Employees ©SHRM 2014

11. Within the next three to five years, what benefits offerings will increase, remain the same or decrease in importance in your organization’s efforts to recruit all levels of employees?
Note: n = Only respondents whose organizations leveraged their benefits program to recruit employees at all levels within the organization were asked this question. Respondents who answered “not sure” were excluded from this analysis. Percentages may not equal 100% due to rounding.
Employee Benefits in California—Leveraging Benefits to Recruit Employees ©SHRM 2014

12. Leveraging Benefits to Recruit Highly Skilled Employees
Employee Benefits in California—Leveraging Benefits to Recruit Employees ©SHRM 2014

13. Over the past 12 months, has your organization had difficulty recruiting highly skilled employees?
Note: Respondents who answered “not sure” were excluded from this analysis.
Employee Benefits in California—Leveraging Benefits to Recruit Employees ©SHRM 2014

14. Over the past 12 months, has your organization leveraged your benefits program to recruit highly skilled employees?
Note: Respondents who answered “not sure” were excluded from this analysis.
Employee Benefits in California—Leveraging Benefits to Recruit Employees ©SHRM 2014

15. Which of the following benefits has your organization leveraged to recruit highly skilled employees?
Note: Only respondents whose organizations leveraged their benefits program to recruit highly skilled employees were asked this question. Respondents who answered “not sure” were excluded from this analysis. Percentages do not equal 100% due to multiple response options.
Employee Benefits in California—Leveraging Benefits to Recruit Employees ©SHRM 2014

16. Within the next three to five years, what benefits offerings will increase, remain the same or decrease in importance in your organization’s efforts to recruit highly skilled employees?
Note: n = Only respondents whose organizations leveraged their benefits program to recruit highly skilled employees were asked this question. Respondents who answered “not sure” were excluded from this analysis. Percentages may not equal 100% due to rounding.
Employee Benefits in California—Leveraging Benefits to Recruit Employees ©SHRM 2014

17. Demographics
Employee Benefits in California—Leveraging Benefits to Recruit Employees ©SHRM 2014

18. Demographics: Organization Staff Size
Employee Benefits in California—Leveraging Benefits to Recruit Employees ©SHRM 2014

19. Demographics: Organization Sector
Note: n = 322. Percentages do not equal 100% due to rounding.
Employee Benefits in California—Leveraging Benefits to Recruit Employees ©SHRM 2014

20. Demographics: Organization Industry Percentage
Percentage
Professional, scientific and technical services
24%
Health care and social assistance
13%
Manufacturing
12%
Finance and insurance
10%
Government agencies 8%
Educational services
Transportation and warehousing 7%
Retail trade
Whole trade 6%
Real estate and rental and leasing 5%
Accommodation and food services 4%
Administrative and support and waste management and remediation services
Construction
Information
Utilities
Religious, grantmaking, civic, professional and similar organizations 3%
Mining 2%
Arts, entertainment and recreation
Repair and maintenance
Agriculture, forestry, fishing and hunting
Personal and laundry services 1%
Other 9%
Note: n = 328. Percentages do not equal 100% due to multiple response options.
Employee Benefits in California—Leveraging Benefits to Recruit Employees ©SHRM 2014

21. Demographics: Other
Does your organization have U.S.-based operations (business units) only, or does it operate multinationally?
Is your organization a single-unit organization or a multi-unit organization?
Single-unit organization: An organization in which the location and the organization are one and the same.
30%
Multi-unit organization: An organization that has more than one location.
70%
U.S.-based operations only
79%
Multinational operations
21%
n = 324
n = 325
What is the HR department/function for which you responded throughout this survey?
For multi-unit organizations, are HR policies and practices determined by the multi-unit headquarters, by each work location or by both?
Corporate (company-wide)
78%
Business unit/division
15%
Facility/location
16%
Multi-unit headquarters determines HR policies and practices.
59%
Each work location determines HR policies and practices. 5%
A combination of both the work location and the multi-unit headquarters determines HR policies and practices.
37%
Note: n = 234. Percentages do not equal 100% due to rounding.
Note: n = 234. Percentages do not equal 100% due to rounding.
Employee Benefits in California—Leveraging Benefits to Recruit Employees ©SHRM 2014

22. SHRM Survey Findings: Employee Benefits in California—Leveraging Benefits to Recruit Employees
Survey Methodology
Response rate = 13%
373 HR professional respondents in California organizations from a randomly selected sample of SHRM’s membership participated in this survey
Margin of error +/- 5%
Survey fielded May 3 - June 7, 2013
Employee Benefits in California—Leveraging Benefits to Recruit Employees ©SHRM 2014

23. Additional SHRM Resources
SHRM Research Findings: State of Employee Benefits in the Workplace—Leveraging benefits to recruit employees 
SHRM Research Findings: The Ongoing Impact of the Recession—California Recruiting and Skill Gaps 
SHRM Research Findings: Employee Benefits Landscape in California
California Resources Page 
Managing the Hiring Process in California 
Benefits Underused to Recruit, Retain, SHRM Finds
Employee Benefits in California—Leveraging Benefits to Recruit Employees ©SHRM 2014

24. About SHRM Research
For more survey/poll findings, visit
For more information about SHRM’s Customized Research Services, visit
Follow us on
Project leaders:
Christina Lee, researcher, SHRM Research
Yan Dong, SHRM Research
Project contributors:
Alexander Alonso, Ph.D., SPHR, vice president, SHRM Research
Evren Esen, director, Survey Research Center, SHRM Research
Copy editor:
Katya Scanlan, SHRM Knowledge Center
Employee Benefits in California—Leveraging Benefits to Recruit Employees ©SHRM 2014

25. About SHRM
Founded in 1948, the Society for Human Resource Management (SHRM) is the world’s largest HR membership organization devoted to human resource management. Representing more than 275,000 members in over 160 countries, the Society is the leading provider of resources to serve the needs of HR professionals and advance the professional practice of human resource management. SHRM has more than 575 affiliated chapters within the United States and subsidiary offices in China, India and United Arab Emirates. Visit us at shrm.org.
Employee Benefits in California—Leveraging Benefits to Recruit Employees ©SHRM 2014