Lavish Perks Are Out. Thoughtful Benefits Are In.

Big tech has been doing some soul-searching. After years of a growth-at-any-cost mindset, the last year of economic instability has resulted in plummeting stock prices and thousands of layoffs. At last month’s earnings calls, CEOs from Meta, Amazon, Alphabet, and more struck more disciplined notes. As Mark Zuckerberg put it , 2023 will be the year of efficiency.

Hopefully, that efficiency will come at the expense of some of the more lavish perks Big Tech offers, rather than more jobs. FAANG’s commitment to attracting top talent at any cost led to benefits so outlandish they became a frequent joke in the media and on TV shows like Silicon Valley. From catered meals to opulent parties to onsite masseurs, barbers, and concierge services, at some point these benefits became more about bragging rights than actually providing employees with services they want and need. With a more austere mindset, I’m hoping Big Tech leaders will take time to consider what perks really matter.?

After the crucible of the pandemic, three benefits have risen to the forefront as truly essential: flexibility, mental wellness support, and a culture of belonging.

• Flexibility: The pandemic inspired a reassessment of our lives. How we spend our time, where we live, and how often we see our families has become so much more important than any swag box. And the pandemic proved to employees as well as their managers that remote work can be just as productive as in-person work. Recognizing employees as people first means offering them the flexibility they need to get work done when, where, and how they can best be productive. In my experience, if you show trust in your employees, they’ll reward you with their best work.?
• Mental wellness support: Burnout is on the rise, as are levels of stress, anxiety, and depression. Tools that support employee mental wellness by encouraging healthy breaks, movement, meditation, reading, and connection can all help prevent daily stresses from becoming something more serious. The best cure for burnout is to prevent it.
• Culture of belonging: I was hesitant to include this as a “benefit,” because it is so much more than that. But I decided to share it because I believe a culture that allows your employees to bring their whole selves to work is more valuable than any perk money can buy. When you ensure that your company sees every coworker as a full person—a parent, a partner, a cook, an athlete, an artist—instead of just an employee, you show how much you value them and their unique contributions. That’s worth more than any perk.

Though it can be painful to watch the industry contract, I hope that this difficult period precedes one of more thoughtful growth, benefits, and leadership.