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Employee Benefits Feedback: The Secret to High Engagement

April 8, 2025

Download Employee Benefits Survey Template

Let’s be honest—HR teams spend months designing and refining benefits packages, working hard to balance budgets, compliance, and employee needs. But despite all that effort, employees often remain disengaged, uninformed, or even dissatisfied with their benefits.

The disconnect is real. Studies show that employees who feel their voices are heard are twice as likely to be engaged at work, yet many organizations don’t actively seek or act on employee feedback when it comes to benefits.

That’s a problem. When employees don’t fully understand or appreciate their benefits, engagement drops, retention suffers, and HR gets flooded with last-minute questions (or complaints).

The good news? It doesn’t have to be this way. By making employee feedback a core part of your benefits strategy, you can create a better experience, increase participation, and make benefits a competitive advantage rather than a frustration.

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The Employee Benefits Blind Spot

HR professionals know that benefits are a major factor in employee satisfaction and retention. But what happens when employees don’t feel confident in their benefits decisions? 

The Numbers Don’t Lie: 

  • 63% of employees don’t fully understand their benefits.
    According to Harvard Business Review, most employees are in the dark when it comes to understanding and using their benefits effectively.

  • 53% regret the choices they made last year during Open Enrollment.
    A survey by Equitable found that over half of employees wish they’d made different decisions during OE—decisions that could have long-term impacts on their health, finances, and overall well-being.

  • Nearly 1 in 5 employees are considering leaving their jobs within the next year.
    The APA’s 2023 Work in America survey shows that 19% of workers plan to leave their current employer—and benefits play a major role. 

Employees who don’t feel supported in their well-being, or who are confused or frustrated by the benefits process, are more likely to walk.

Thoughtful benefits offerings—and a better enrollment experience—can be a powerful retention tool.

These statistics point to a critical issue: employees aren’t getting the clarity and support they need. And without that understanding, they disengage. Instead of seeing benefits as a valuable part of their compensation, they see them as a confusing, high-stakes hassle.

For HR teams, this means more last-minute questions, frustration, and even turnover. But with the right approach—one centered around employee feedback—you can bridge this gap.

Employee Feedback: The Missing Piece in Benefits Strategy 

Collecting and analyzing employee feedback turns benefits from a one-way HR initiative into a two-way conversation. 

Instead of guessing what employees need, you can make data-driven decisions that improve satisfaction and engagement. 

💡 Engaged employees = higher satisfaction, better retention, and improved benefits ROI. 

A well-designed benefits feedback strategy allows HR to: 

    • Identify gaps in understanding and adjust communication accordingly. 
    • Address employee concerns before they turn into dissatisfaction or turnover. 
    • Ensure the benefits package remains competitive and aligned with workforce needs. 

Need help getting started? Download the Employee Benefits Survey Template

How to Collect and Act on Employee Benefits Feedback 

1. Ask the Right Questions 

A well-crafted employee benefits survey should assess: 

  • Benefits awareness & understanding:

    Do employees know what’s available to them? 

  • Satisfaction with offerings:

    Are current benefits meeting their needs? 

  • Ease of enrollment & communication:

    Was OE a smooth experience or a confusing mess? 

  • Suggestions for improvement:

    What would they change if they could?

The right survey questions will reveal where employees struggle, what they value most, and what adjustments could have the biggest impact. 

2. Listen and Analyze the Data

Raw data is helpful, but patterns and trends tell the real story.  

  • Are employees struggling to understand specific benefits?

    Maybe it’s time for clearer, more engaging communications. 

  • Are they frustrated with the enrollment process?

    Consider simplifying or improving the platform. 

  • Are certain benefits underutilized?

    Employees might not know they exist or see their value.

3. Turn Insights into Action

  • Communicate changes based on feedback.

    Employees need to see that their input leads to real adjustments. 

  • Personalize benefits education.

    Targeted, year-round communication increases understanding. 

  • Use data to refine your Open Enrollment strategy.

    Next year’s process should be better because of what you learned this year.

Want a deeper dive? See How to Act on Employee Feedback

The Bigger Picture – Why This Matters for HR 

Benefits engagement isn’t just an OE issue—it’s a year-round strategy. HR teams who embrace employee feedback are better positioned to:

  • Improve benefits utilization – Employees can’t value what they don’t understand. 

  • Reduce last-minute OE stress – More clarity = fewer panicked questions. 

  • Build trust and transparency – Employees who feel heard are more engaged overall. 

By making employee feedback a core part of your benefits strategy, you’re not just improving Open Enrollment—you’re creating a culture where employees feel supported, valued, and empowered to make the best decisions for their future.

Make Employee Feedback a Priority This Year

Your benefits strategy is only as strong as the engagement it drives. If employees don’t understand or appreciate their benefits, they won’t use them effectively. 

Regular feedback = higher engagement, better retention, and smarter HR strategies. 

Start today by using the Employee Benefits Survey Template to collect valuable insights.

Get the complete Open Enrollment Guide for tools and resources to help you have the best OE season yet!