Employee expectations of workplace benefits have shifted. It’s no longer enough to offer a solid health plan and a 401(k). Today’s workforce wants to know: Will you be there when life falls apart?
Empathy’s 2026 Workplace Benefits Report shows that support during major life events, especially grief and bereavement, is now a powerful driver of loyalty, engagement, and retention.
At the same time, our research reveals a paradox: 80% of employers plan to increase their benefits budgets in 2026, yet utilization remains low, and misalignment is growing. The solution isn't more benefits—it's better ones. More employers are reevaluating their strategies and becoming far more selective, looking for offerings that deliver clear, measurable value and real outcomes for their people.
For employers, this is reshaping what a truly competitive benefits strategy looks like. For brokers and consultants, it opens a high‑impact area to advise clients and differentiate your value—not by adding more point solutions, but by designing holistic benefits packages that create a system of care and support to help build a more resilient workforce.
Below are a few core findings; the full data and frameworks are available in the complete report.
The Business Impact of Life-Event Support on Retention, Engagement, & Motivation
Life disruptions are now a defining feature of the modern employee experience, not a rare exception. Our recent research revealed that in the past two years, nearly half of employees have experienced a significant life disruption: from bereavement to serious illness, caregiving, or pregnancy loss.
A clear expectation is emerging: that employers will play a real, supportive role when they happen.
When employees do experience a major life event, the most common support they receive is paid time off, flexible hours, and a manager’s understanding.
Yet there's a significant gap between what employers currently offer and what employees actually need. Employees say what would have mattered most includes:
stronger support for work–life balance
help with mental health and emotional wellbeing
support with family or caring responsibilities
guidance and support for bereavement and grief
When employees receive expanded support during major life events, they’re clear about how that changes their behavior at work.
With stronger, more comprehensive life-event support, they say they would:
Be more likely to stay with their employer
Feel their employer truly cares about them
Be more likely to recommend their employer
Feel more motivated and engaged
For employers, this translates directly into lower turnover, reduced replacement costs (often 50–200% of an employee's annual salary), and stronger long-term engagement.
For brokers, it becomes a tangible story about cost avoidance and culture you can bring into renewal and RFP conversations.
What HR Leaders & Benefit Brokers Can Do Next
Our research shows that 84% of employers plan to expand bereavement support in 2026, a clear point of alignment between employees and employers.
Top bereavement offerings, such as paid bereavement leave, grief counseling, and structured loss navigation services, are moving from “nice to have” to the core of a modern benefits strategy.
You don’t need to redesign your entire benefits ecosystem overnight. But you can:
Treat life‑event and bereavement support as a core retention lever, not a fringe perk
Employers: elevate these programs in your total rewards strategy
Brokers: make them a key pillar in your multi‑year client roadmap
Audit where your current offering falls short on real-world support
Employers: map current benefits against real employee journeys through loss and disruption
Brokers: use the report’s benchmarks to identify gaps and prioritize recommendations
Train managers to respond to employees consistently and compassionately during moments of transition or loss
Employers: give leaders guidance, language, and clear policies
Brokers: surface training and support solutions that complement core benefits
Simplify access and communication so employees actually know how to get help when they need it most
Employers: move from a scattered list of vendors to a central, digital entry point for life‑event support. Digital platforms like Empathy bring emotional support, practical guidance, and task management into a single experience, making it far more likely that employees will actually use the benefits you’re already funding.
Brokers: help clients unlock more value from their existing ecosystem by recommending integrated digital solutions that connect the dots between EAP, legal, financial, and leave benefits. By layering in a platform like Empathy, you can give employees a clear path to support while helping employers increase utilization and impact without necessarily increasing cost.
Build the Case for Life-Event Support with Data
The data is clear: grief and life-event support is no longer optional for competitive employers. The question isn't whether to invest, but how to implement support that employees will actually use when they need it most.
Use the full findings to turn empathy into measurable business outcomes:
Gain an in-depth understanding of how to design a strong life-event support benefits strategy that meets employee needs and expectations
Understand exactly how life‑event support impacts retention and engagement
Build a data‑backed case for expanding grief and life‑event support