State Street announced a significant revamp of its benefits package — including fertility benefits and increased adoption assistance — in an effort to help workers looking to start families.
The financial services firm consulted its employees in an effort to make a meaningful expansion to its benefits package, which now includes four weeks of fully paid leave for employees who are primary caregivers to a child born via surrogacy; $20,000 in reimbursement for fertility-related expenses beyond the firm’s medical plans, such as surrogacy; and $20,000 in reimbursement for adoption assistance (up from its previous reimbursement of $5,000).
The company says the benefits can be used once per calendar year and employees are allowed up to $40,000 in lifetime financial support for these benefits combined.
“Families don’t come in one size,” says Kathy Horgan, State Street’s chief human resources and corporate citizenship officer. “We’re always trying to make sure we’re offering competitive benefits.”
She says the firm consulted with its employee resource groups and its PRIDE group, along with asking employees for feedback directly, last year to make these changes.
The new policy builds upon the firm’s current benefits, which include eight weeks of fully paid time off for all parents, four weeks of fully paid leave for adoptive parents and family caregivers, and a flexible work program.
The benefits went into effect on Jan. 1 and are available to employees on their day of hire.
State Street declined to share the expected ROI or benefit usage, but said it is focused on the talent return on investment.
Unlike other companies that have made major employee benefit changes recently, State Street prepared its expanded parental benefits prior to President Donald Trump signing the Tax Cuts and Jobs Act.
Since Congress passed the tax reform, which slashes the corporate rate to 21% from 35%, State Street has evaluated ways it can reinvest those savings into its workforce, Horgan says.
The firm is retooling its retirement benefits to include a 100% match on the first 6%, up from 5%, as well as working on a new administration of those benefits, says Kimberly Bruno, vice president, head of North American benefits, at State Street.
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