As retirement readiness, financial stress and healthcare affordability continue to challenge employees, employers are increasingly focused on a new question: Are their financial benefits actually improving outcomes? Gallagher's 2026 US Financial Benchmarks Report finds organizations are shifting beyond simply offering benefits toward helping employees make better financial decisions throughout their careers.
"Financial wellbeing is no longer viewed as a stand-alone benefit. Employers increasingly recognize the connection between financial health, workforce engagement and business performance," said John Tournet, US CEO of Gallagher's Benefits & HR Consulting Division. "As a result, they're looking more closely at how benefits, guidance and support programs work together to meet employees' financial needs."
Retirement Benefits Prioritize Outcomes Over Access
While 85% of employers continue to offer retirement benefits, the report finds organizations are increasingly focused on improving retirement outcomes rather than simply providing access to plans. The shift comes as retirement confidence remains low: only 28% of employees believe their current retirement savings strategy will enable them to achieve their goals, while 30% of employees age 55 and older identify retirement planning as their biggest financial stressor.
To help address those challenges, employers are putting greater emphasis on plan design. With SECURE 2.0 making auto-enrollment and auto-escalation mandatory for most new retirement plans, these features are playing a larger role in improving participant outcomes. Already, 57% of employers use auto-enrollment and 33% use auto-escalation to help employees save consistently and increase contributions over time.