Companies Trim Benefits to Boost the Bottom Line

By: Kaydee Ambas · August 10, 2023 · Reading Time: 2 minutes

Scaling Back Perks

When you walk in for your next job interview, don’t be surprised if your potential employer isn’t showing off the on-site gym, monthly team building events, or even free kombucha to lure you in.

Amid an uncertain economy and shifting workforce, many large corporations are scaling back popular office perks in an attempt to cut costs.

Most companies are still keeping core employee benefits like healthcare, retirement plans, and employee stock-purchase programs. But excessive perks — especially those once touted by major tech companies — appear to be on their way out.

What’s Getting Cut?

Working at a large company used to be filled with free benefits, but the era of free office perks may be dwindling to an end. Here are some employee benefits to recently hit the chopping block:

•   Twilio (TWLO) cut its employee allowance for “wellness spending”

•   Salesforce (CRM) cut ties with its Trailblazer Ranch employee wellness retreat and removed the monthly paid-day off for “well-being.”

•   Meta Platforms (META) cut its free laundry and dry cleaning services.

Adjusting to Hybrid Work

Many companies piled on perks to entice employees to return to the office. It’s now becoming clear many employees simply value remote work over the office — no matter how many pilates balls or arcade machines are packed in.

It may bot make much financial sense for companies to continue offering exciting in-office perks if employees will spend only a fraction of their time working in-person.

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