Retailers have cut work perks for staff by as much as 60% ahead of the looming national minimum wage increase and other rising costs, according to new research.

A JD gym

Retailers are cutting perks such as gym memberships to reduce costs

Work perks, including flexible working, enhanced pensions, private healthcare and gym memberships, are understood to have been on a “sharp decline” over the past year, according to job advertisement search engine Adzuna.

The new research tracked more than 72,000 jobs advertised across the retail sector over the past year since the national living wage hike was announced last October.

Adzuna said the majority of advertised work perks have been “on a sharp decline” since October and the most popular work perk being advertised, employee discounts, was down 45% year on year.

Alongside employee discounts, employee assistance programmes, cycle to work schemes, free food, adoption leave and enhanced paternity leave were among the top 15 work perks within the retail sector.

With an eye to the biggest staff discounts on offer in the sector, Boots, Moss, Hotel Chocolat, WHSmith and Cafe Nero were among those ranked the highest.

Adzuna co-founder Andrew Hunter said: “Retail employers are tightening their purse strings on work perks ahead of the national minimum wage increase on April 1.

“While the sector is already grappling with labour shortages and high time-to-fill, the nuance of the UK’s slowing economy and reduced consumer spending are compounding the challenge.

“In response to rising salary costs, many retailers are scaling back on perks, yet these benefits often play a key role in attracting and retaining talent, creating a catch-22 situation. To stay competitive, employers must find a balance between rising talent cost with an ongoing labour shortage or explore new ways to attract talent.”

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