What percentage of SMEs are offering group benefits to employees?

A new survey has found that eight in 10 (80%) small and medium-sized employers in Eastern Canada indicated that they do not provide their employees with group benefits – a startling discovery that could drive new talent away from businesses in the area.

The survey was conducted by Abacus Data for Medavie Blue Cross, polling SMEs and their employees in Ontario, Quebec and Atlantic Canada. Apart from uncovering that a large portion of SMEs in the region lack group benefits offerings, the report also found that 85% of SMEs that do not offer benefits are at least “somewhat” interested in offering them in the future.

The report found that 95% of SME workers said that benefits are important to them, while 72% of those who do not currently have workplace benefits said they would leave their job for one that offers a health benefits package.

The numbers line up with a previous study by RBC Insurance, which found that young Canadians aged 18-34 (73%) and 35-44 (69%) would be likely to leave their current employer for another that is offering better benefits.

Read more: What percentage of young Canadians would leave their current role for one with better benefits?

It also happens that employee recruitment and/or retention is an issue Eastern Canada SMEs are grappling with, as the survey found that 27% identified the concern as their main challenge, Benefits Canada reported.

Apart from dental, drug, and vision coverage, Medavie Blue Cross’ report also found that among Eastern Canada SMEs, the most important benefits were hospital coverage (77%), critical illness insurance (74%), diagnostic tests (73%) and long-term disability (72%).