The Most Important Employee Benefits by Generation

Kim Solis | Apr 12, 2023 | minute read

employee-benefits-most-important-employee-benefits-by-generationFour generations make up today’s workforce with an age range that spans 75 years – Gen Z, Gen X, millennials, and baby boomers. A customizable employee benefits package will attract the cream of the crop from all generations.  

Each generation has different health risks in common, and each holds different expectations for what they want to see in an employee benefits package. The challenge companies face in creating an employee benefits package is crafting it to appeal to employees of all four generations.    

Here’s a look at what today’s workforce is looking for in the top employee benefits – generation by generation. 

What Your Company Needs to Know About Employee Benefits by Generation 

Gen Z 

To some degree, the pandemic shaped the benefits Gen Z workers most prefer (born 1997-2012). About half of them had either just entered the workforce or were about to enter it when businesses shut down by choice or by force. As Gen Z workers infiltrated the workforce, the unstable job market caused grave concern about job security, healthcare, and mental healthcare.  

Beyond having a secure job, Gen Z-ers are looking for opportunities to grow and develop their careers. For this reason, Gen Z workers are more likely to focus on employee benefits than salaries.  

Here are the primary employee benefits Gen Z workers have on their minds: 

  • Tuition reimbursement 
  • Flexible paid time off 
  • A hybrid or remote work environment 
  • Health care 
  • Mental health care 
  • Employee Assistance Programs (EAP)

Lastly, they’re a digitally savvy bunch that likes to get information about employee benefits via texts and videos.  

Millennials (Gen Y) 

The fastest-growing and largest generation in the workforce is the millennials (born 1981-1996).  

This class is discerning about managing their debts, and they proactively manage their finances to prepare for their futures. Many are entering the phase of life where they are buying homes, getting married, and having children. They have big student loan debt and have been dropped from their parent’s health policies. 

According to Glassdoor, millennials are the least likely generation to be interested in benefits packages.   

Nonetheless, millennials are looking for the following things in an employee benefits package: 

  • Student loan tuition or repayment assistance 
  • Maternity care
  • Liberal parental leave
  • Flexible work hours 

Millennials grew up alongside digital technology. For that reason, they like to research, purchase, and manage their employee benefits using digital technology.  


Gen X  

Gen X-ers (born 1965-1980) are sometimes known as the “sandwich generation” as they often care for their baby boomer parents while raising their own children. They live a fast-paced life with little time to care for themselves.  

Finances are a big drain for Gen X-ers. They spend much of their salaries on student loans, childcare, kids’ activities, college tuition, and eldercare. There is little left over to take care of their own needs or save for retirement.  

In their struggle to manage their finances and find a reasonable work-life balance, Gen X workers are attracted to benefits such as: 

  • Flexible working hours 
  • Childcare 
  • Student loan repayment assistance 
  • Matching contributions for retirement plans 
  • Health care convenience (telehealth) 
  • Wellness programs 

Unlike younger generations who rely heavily on digital technology, Gen X workers favor getting information about benefits from their primary care physicians, peers, and social forums, and peers.  

Baby Boomers  

The baby boomer generation (born 1946-1964) largely focuses on finances and being healthy. They’ve weathered many economic ups and downs throughout their lifetimes. For that reason, large percentages of them are working longer in the hopes of having a financially secure retirement.  

Maintaining good health is also a concern for baby boomers. One in four boomers struggle with chronic diseases such as arthritis, asthma, chronic obstructive pulmonary disease, or other diseases that threaten their health and well-being.  

Health care was less expensive during their early working years, enabling them to visit their doctors more often than they can now. Considering this, baby boomers place great value on their relationship with their primary care physician. 

In this stage of life, baby boomers will appreciate having access to the following employee benefits: 

  • Good health care benefits
  • Dental insurance 
  • Vision insurance 
  • Life insurance
  • Employer match for 401(k)s 
  • Health and wellness benefits
  • Financial counseling services 

Baby boomers value professional expertise, so they favor meeting with a representative in person when choosing their employee benefits packages. 

Employee Benefits Programs for Today’s Working Generations   

Every generation brings skills and talents to enhance your company’s operations. How can your company appeal to workers of all generations? The answer lies in providing flexible employee benefits packages with features that cater to all groups.  

A comprehensive employee benefits package supplements core benefits such as health care and 401(k) programs with things like paid time off, flex time, voluntary benefits, and tuition repayment or student loan repayment assistance. Employers will score big points with Gen Z and millennial workers if they can offer a flexible and at least partially remote work environment 

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Attract, retain, and empower high-caliber talent with a well-designed employee benefits program.

Free eBook: The Ultimate Guide to Employee Benefits Programs

Leap | Carpenter | Kemps Insurance Agency Can Help

To learn more about how to attract multiple generations to your company by offering the right employee benefits, give one of our licensed agents at Leap Carpenter Kemps a call today at 209-384-0727.  

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About The Author

As the Employee Benefit’s Department Manager at Leap | Carpenter | Kemps Insurance Agency, I use my 20 years of insurance expertise and background in Human Resources Management to find the best policies for both business owners and their employees.

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