With talent attraction and retention top of mind, more employers are adding student loan repayment benefits to their compensation packages. Recent data from the International Foundation of Employee Benefit Plans (IFEBP) shows that the number of companies offering this benefit has more than tripled since 2019. Employees are paying attention – 77% of workers with student debt say they would be more likely to accept a job if their employer helped with loan repayment.
As financial stress continues to impact workplace productivity, providing student loan support can be a strategic way to enhance employee engagement and loyalty. While this benefit is growing in popularity, some employers remain cautious due to cost considerations and fairness concerns. Traditional education benefits like tuition reimbursement (o ered by 57% of employers) are still more common, but new policies – such as the SECURE 2.0 provision allowing 401(k) matches for student loan payments – may encourage broader adoption.
If you’re wanting to explore education-based perks, HR Butler can help you evaluate the best approach for your workforce and business needs.