With a labor shortage that’s expected to last through 2026 intertwined with a growing gig economy, employers may need to rethink their strategies and focus on creating a work environment that values employees and offers competitive benefits, a panel of industry experts suggests.
That was one of the key takeaways from Transamerica’s “Prescience 2026: Dynamics of the American Workforce,” a new report that sheds light on the continued labor shortage in the U.S., what might be in store for gig workers, and the significance of flexibility in the workplace. The report is the third in a series of 10 polls and three discussion sessions over 12 months with industry specialists, each focusing on a particular aspect of employee benefits.
This latest poll was fielded in January 2023 among nearly 60 retirement industry experts who predict that the labor shortage will continue to affect the U.S. economy, despite an expected increase in the immigrant population to 50 million by 2026. The panel, however, does not expect the increase in the immigrant population to fully solve the labor shortage in the U.S.
“In the face of these labor shortages, employers need to rethink their strategies. It is not just about filling vacancies anymore; it is about creating a work environment that respects and values the employee, offering competitive benefits, and fostering a culture of flexibility and inclusivity,” observes Phil Eckman, President of Workplace Solutions at Transamerica.
Benefits for Gig Workers?
A curveball to add to the mix is the growing gig economy. More than a third of the U.S. workforce is said to be currently engaged in temporary, contract or on-demand work. And as workers become increasingly comfortable with rejecting—or at least bending—established employment norms, employers seem to be responding, the report suggests.
In fact, 83% of panelists “agreed” or “strongly agreed” that at least 10% of employers involved in the gig economy will offer contract workers voluntary payroll-deduction retirement savings mechanisms—such as IRAs, solo 401(k)s, and HSAs by the end of 2026. This appears to validate the belief that gig economy employers want to attract and retain workers and are willing to provide attractive benefits packages to do so, the report emphasizes. 
“This trend shows that gig economy employers are recognizing the need to provide competitive benefits packages to secure and maintain a strong workforce,” observes Wendy Daniels, head of Customer Experience and Marketing for Workplace Solutions at Transamerica.
When asked whether at least 5% of employers in the gig economy will offer multiple employer retirement plans (MEPs) for their contract workers by the end of 2026, 64% agreed or strongly agreed. What’s more, 60% agreed or strongly agreed that by year-end 2026, at least 10% of employers in the gig economy will offer voluntary insurance benefits to their contract workers.
Transamerica notes, however, that opinions began to diverge on topics like voluntary healthcare, voluntary savings programs for contract workers, and future legislation allowing contractors to participate in 401(k) plans.
For instance, when asked whether legislation will have passed allowing independent contractors to participate in 401(k) plans, 44% said that it will, while 29% did not think so.
Similarly, when asked whether at least 30% of employers of the gig economy offering voluntary savings mechanisms will contribute to the retirement accounts of their contract workers, the results were also mixed, with 45% agreeing and 34% disagreeing.
Workplace Flexibility
The report further suggests that employers unable to provide work-from-home opportunities will need to enhance benefits packages and adopt flexible total rewards programs to attract and retain talent. According to the panelists, the pressures on employers who cannot or will not offer work-from-home arrangements will continue and increase, as employees seem to have some leverage in this area.
Among the responses, 76% agreed or strongly agreed that, in 2026, more employers in this situation will offer a flexible total rewards package allowing employees to exchange compensation and employer-paid benefits to better meet their needs.
“This is not surprising, considering that 74% of respondents agreed or strongly agreed with the statement that by year-end 2026, attracting talent to work where work-from-home is unavailable will be even more difficult than in other segments,” the report observes.
The experts also predict, not surprisingly, that the cost of labor for these employers will have risen faster in comparison to other employers; 71% agreed or strongly agreed with that thought. There was less agreement, however, on the rising costs of employee benefits in relation to the cost of labor for these employers, with less than half in agreement with the statement.
Employee Engagement
When Transamerica asked its experts to speculate about how employee engagement might look by the end of 2026 considering worker expectations and employer needs, 60% agreed or strongly agreed that all major human capital management (HCM) suites will report employee engagement metrics, including employee engagement with the benefits platform.
“The ability to measure and report on activity is critical to evaluating success,” Transamerica notes. The firm adds, however, that the fact that it didn’t find greater agreement from the panelists may speak more about finding the right metric than it does about whether or not reporting would occur.
When asked about the impact of financial coaching on employees by the end of 2026, nearly 60% of the panelists agreed that evidence that financial coaching contributes to employee engagement will be abundant. “If this holds true, it would certainly inform employer choices when it comes to employee engagement programs,” the report notes.
“I expect to see some type of generally accepted metric developed to help verify we are doing a good job within our organizations and to allow for some degree of industry-level comparison,” says Stig Nybo of Strategic Retirement Partners.
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