Nearly 1 in 4 American adults provide unpaid care to family, friends or loved ones with special needs. Research by AARP and the National Alliance for Caregiving found that the number of family caregivers jumped from 59 million in 2015 to 63 million in 2025. Of the current figure, almost one-third are part of the “sandwich generation,” or middle-aged workers who are simultaneously raising children and caring for elderly parents.
As the population ages and more workers take on the role of family caregiver, support for them becomes increasingly essential. An impactful way employers can assist employees and help ease the pressures of caregiving is by providing caregiving benefits.
This article discusses caregiving benefits and considerations for offering them to employees.
Overview of Caregiving Benefits
Caregiving benefits refer to programs, policies or resources that help employees balance work and caregiving duties. They aim to support caregivers’ well-being by reducing the challenges and barriers they face at work and providing external assistance. The following are common types of caregiving benefits:
- Backup care provides dependable, short-term care services for a loved one in case of an emergency or when their usual care arrangements suddenly become unavailable.
- Counseling and therapy, such as individual or group sessions, can support caregivers’ emotional well-being and reduce burnout and stress.
- Support groups provide opportunities to connect with fellow caregivers and create a safe space to discuss their struggles.
- Flexible work arrangements, such as remote work, adjusted work hours or compressed workweeks, can help accommodate employees’ caregiving responsibilities.
- Caregiving stipends provide regular financial assistance to support employees’ caregiving activities.
- Caregiving training equips employees with vital caregiving information, such as medical workshops, financial planning and legal support.
- Caregiver paid time off policies are dedicated leave policies that allow workers to take time off for caregiving.
- Flexible spending accounts allow employees to set aside pre-tax dollars from their paychecks to cover eligible caregiving or medical expenses not covered by insurance.
- Child care includes providing day care stipends or on-site or near-site facilities that help employees manage their child care needs during work hours.
5 Reasons to Consider Caregiving Benefits
Most family caregivers provide at least 20 hours of care weekly, which includes helping with household chores, meals, finances, personal care and transportation. Because of the demands of their role, many caregivers experience high levels of burnout, stress and financial strain. This often impacts their attention and focus at work, leading to reduced productivity. Workers may also be faced with reduced work hours and unplanned absences. In fact, almost 70% of family caregivers are struggling to balance caregiving responsibilities with their jobs, according to AARP.
Caregiving benefits can alleviate some of the personal pressures that employees face. Consider these five advantages of offering caregiving benefits to employees:
- Increased productivity—Employers build trust by caring about employees’ lives beyond the office. Employees who feel supported in their caregiving duties may have reduced stress and increased motivation. This culture of care can improve efficiency and aid in overall productivity.
- Lower absenteeism—Having the flexibility to work around their caregiving duties enables employees to balance their caregiving tasks with professional obligations. This adaptability helps reduce unplanned absences and last-minute leave requests.
- Improved talent attraction and retention—Studies show that employees actively seek caregiving benefits. When employers offer these benefits, they become more attractive to job seekers and more likely to retain key talent.
- Greater employee loyalty—Employees who are trusted to manage caregiving duties without penalty are more likely to reciprocate that trust with loyalty. Generally, people stay where they feel understood and empowered, not where they’re forced to choose between family and career.
- Expanded employee support—Caregiving benefits can create a company culture that supports employees with caregiving obligations. For employees who are more likely to face career interruptions due to caregiving duties (e.g., women), caregiving benefits allow them to stay at their organizations and advance in their careers.
Conclusion
Caregiving is an integral part of many employees’ lives. As this crucial responsibility can impact employees’ performance and engagement at work, employers should consider how their benefits can meet their workforce’s evolving needs.
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This Benefits Insights is not intended to be exhaustive nor should any discussion or opinions be construed as professional advice. © 2025 Zywave, Inc. All rights reserved.
