It’s Not Just About the Salary: What Employees Really Want in 2025
It’s easy to assume that employees only want higher salaries. After all, according to PwC’s Global Workforce Hopes and Fears Survey 2024, only 29% of African employees can comfortably pay their bills each month, underscoring the importance of competitive compensation. Younger employees—Gen Z and Millennials—prioritise fair pay and financial stability, a trend that is reshaping workplaces as these generations dominate the talent pool. But here’s the kicker: is money all they care about?
Flexibility: more than a buzzword
Flexibility has become a major workplace demand, particularly among South African employees, as reported by Business Tech. Whether through remote or hybrid work models, workers are calling for more adaptable work arrangements. Employers, in turn, are tasked with developing reward policies that account for regional cost-of-living differences to retain top talent.
Beyond salaries, employee benefits also play a critical role in retention. According to Old Mutual, employees, especially younger and female employees—often the ones most at risk of resigning—prioritise benefits such as medical aid and work-life balance over higher pay.
The need for transparency
Transparency in pay practices is no longer optional. As highlighted by Business Tech, employees are demanding clarity around remuneration to address pay gaps related to gender and race. This is in line with recent legal amendments requiring companies to disclose disparities between their highest- and lowest-paid workers.
Old Mutual notes that employees are significantly more satisfied when employers offer a variety of benefits and communicate these effectively. In fact, 84% of surveyed employees expressed contentment when their benefits were well-structured and clearly communicated.
Holistic rewards: it’s not just about the paycheque
Employees are increasingly seeking total reward packages that extend beyond base salary. As reported by Business Tech, this includes wellness programmes, flexible hours, and opportunities to engage with societal issues through their work. A notable trend is the shift toward skill-based pay, where rewards are tied to the skills employees bring to the table rather than their job titles. This approach fosters continuous learning, development and adaptability.
Performance-linked rewards are also gaining traction, with employees valuing incentive programmes that reflect both personal and organisational achievements. Flexible benefits, such as adjusting medical aid or take-home pay to suit individual circumstances, further enhance job satisfaction. According to Old Mutual, medical aid, retirement savings plans, employee assistance programmes (EAPs), mental health benefits, and health/medical insurance rank as the most important benefits for workers.
Well-being and mental health take centre stage
The focus on employee well-being continues to grow. Employees expect access to programmes and interventions that help them manage stress in today’s fast-paced world, as highlighted by Business Tech. Sustainability and ethical remuneration are also becoming critical factors, with many workers wanting to be part of organisations that prioritise corporate social investment and fair practices. PwC emphasises that employees also value workplace cultures that encourage collaboration and align with their values which corresponds to this statement.
Old Mutual underscores the importance of integrated well-being solutions that address physical, emotional, and financial challenges. While employers are aware of these stressors, there’s still room to strengthen their efforts. According to PwC, hybrid working models are particularly effective in maintaining employee motivation, with 59% of employees preferring these setups.
Technology’s role in shaping the workplace
AI and data analytics are reshaping compensation strategies, ensuring fairness and alignment with business goals. As Business Tech notes, this is particularly crucial for global workers navigating remote setups and digital transformations. Employees also prioritise upskilling to keep pace with technological advancements. PwC reports that 56% of workers value skills development opportunities, while many express frustrations with time-consuming administrative tasks. Employers are therefore encouraged to invest in automation to enhance productivity and staff development.
Employee value: the big picture
Old Mutual advocates for treating employees as “employees for life”, offering benefits that evolve with their needs. Employers who align their offerings with employees’ actual preferences—rather than assumptions—foster greater loyalty and satisfaction. Meanwhile, PwC highlights that workers increasingly prioritise roles that provide meaning and personal fulfilment. In fact, job satisfaction in Africa has climbed to 59% in 2024, driven by access to specialised training.
So, what do employees really want in 2025?
It is clear that in 2025, employees want more than just a paycheque. They are looking for flexibility, transparency, holistic rewards and workplaces that prioritise well-being and skills development. At Joubert and Associates we can assist employers to identify these areas to add to the employee value proposition (EVP). For employers, meeting these demands is about more than retention—it’s about the creation of a thriving, future-ready organisations that treat employees as valued partners. As the workplace continues to evolve, one thing is certain: it’s not just about money anymore.
Sources:
https://www.oldmutual.co.za/corporate/resource-hub/all-articles/what-employees-want/
https://www.pwc.co.za/en/press-room/global-workforce-hopes-and-fears-2024.html
Article written by Allen Stroebel