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WORKPLACE: March 2003

Cutting Edge Companies: Great Perks in a Poor Economy

Published, March 2003

The economic downturn of the past two years has resulted in layoffs, salary caps, and benefits cuts at thousands of companies. For many employees, having a job during a recession is satisfaction enough. Yet leading employers continue to offer benefits packages that retain strong talent, boost productivity, and even make some of us jealous. Smaller-sized companies that Walden has identified as innovators in employment practices are no exception. Here are some of our favorites, with anecdotes from our own files, as well as those of Fortune, Working Mother, and social research firm KLD:

“Spreadsheets and slippers.” About one-quarter of employees at Michigan-based Republic Bancorp work at home.

“Fries and a Coke, and a towel, please.” Computer marketer CDW provides employees free meals and, perhaps an appropriate complement, a fitness center. Employees also receive a paid family vacation in the continental United States if three-year targets are met.

“Happy at least 3% of the time.” Software firm Autodesk offers six-week sabbaticals after four years of service.

“What are my options?” Advent Software, CDW, bank holding company First Tennessee, Republic Bancorp, financial service firm Synovus, and others offer stock options to all employees. Synovus also gives employees a 50 percent discount on company stock.

“Please don’t go!” First Tennessee guarantees employees at least one year’s salary in case of merger-related layoffs. Tech firm Acxiom recently gave employees stock options with pay cuts in order to avoid layoffs. Unfortunately, brokerage firm A.G. Edwards ended a 100-year streak of no-layoffs in 2002.

“Here’s your paycheck, and a rake.” Advent pays their employees to volunteer. Boot maker Timberland pays up to 40 such hours per year. At jam maker J. M. Smucker, it’s unlimited.

“Lunch at 10 a.m.?” At Republic, about 46 percent of employees participate in flextime programs. At Autodesk, it’s more than 50 percent, at First Tennessee, more than 75 percent, and at Lincoln National, about 95 percent.

“Have you seen my turtle?” Advent and Autodesk permit pets at work. –K. Scott

The information provided in the above article is for historical purposes only. Such information may no longer be current and therefore should not be relied upon.

The information contained herein has been prepared from sources and data we believe to be reliable, but we make no guarantee as to its adequacy, accuracy or completeness. We cannot and do not guarantee the suitability or profitability of any particular investment. No information herein is intended as an offer or solicitation of an offer to sell or buy, or as a sponsorship of any company, security, or fund. Opinions expressed herein are subject to change without notice.