Greatest pricing pressure is employee benefits relating to healthcare and pensions
CHICAGO, Nov. 1, 2010 — In a national survey of U.S. CFOs and senior comptrollers conducted by Grant Thornton LLP, the U.S. member firm of Grant Thornton International Ltd, 30% are planning on reducing health care benefits, 23% are planning on reducing bonuses and 18% will be reducing stock options/equity based compensation.
A vast majority (84%) cited employee benefits (e.g., health care, pensions) as their greatest pricing pressure — up from 68% six months earlier.
Grant Thornton LLP conducted the biannual national survey from Oct. 5 through Oct. 15, 2010, with 516 U.S. CFOs and senior comptrollers participating.
|About which type(s) of pricing pressure are you most concerned? (Respondents could select more than one.)|
|Employee benefits (e.g., health care, pensions)||68%||84%|
|Raw materials (e.g., food, metals)||29%||27%|
|Company Insurance (not including healthcare)||19%||11%|
|Is your company making any changes to the average costs per employee in any of these employee benefit and compensation areas?|
|Stock options/equity based compensation||5%||66%||29%||3%||79%||18%|
|401 (k) match||5%||74%||21%||5%||84%||10%|
|Health care benefits||6%||66%||29%||21%||49%||30%|
|Life insurance benefits||2%||86%||11%||5%||86%||9%|
* Percentages may not total 100 due to rounding.
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