Tight Labor Market Spawns New Benefits Offerings

In an effort to retain employees in an era of low unemployment, companies have begun to offer employees a variety of product-oriented benefits, which the employees pay for through payroll deductions, says Rewards Plus of America, Baltimore, a benefits administration firm. Among these new no-cost to-the-company benefits are auto and home insurance, prepaid legal services, Internet access, pet insurance, life insurance, and mortgage and equity loans. The incentive for the employees to obtain these services through their employer: prices that are 5% to 20% lower than what employees could obtain on their own.