In today’s competitive labor market, attracting and retaining top talent continues to be a critical priority for employers. The Charleston Area Compensation and Benefits Practices study equips organizations in Berkeley, Charleston and Dorchester Counties with data-driven insights to:
• Evaluate and strengthen compensation strategies
• Build benchmarks to support strategic workforce planning
• Provide prospective employers and site selectors with a clear view of local practices
This report is a result of a survey of benefits and compensation practices among employers in the three-county Charleston Metro Area, including firms of all sizes and in all business sectors. The Charleston Metro Chamber of Commerce and Charleston Regional Development Alliance conducted the survey in collaboration with the Berkeley Chamber and Greater Summerville / Dorchester County Chamber of Commerce.
The Charleston Metro Chamber has been conducting regional compensation and benefits-related surveys since 1997. Though study participants differ each time the survey is conducted, significant shifts in reported policies and practices over time can be indicative of real-time trends in local employer practices.
Highlights
A total of 84 firms in the region, employing more than 37,600 workers, participated in the online survey, representing just under 10% of the region’s total workforce.
Manufacturers provided the highest response rate (21%) of all industry sectors participating, followed by Professional, Scientific and Technical Services firms (17%).
Participating firms were diverse in size:
As of July 1, 2025, for your company’s Charleston region location(s), please provide the following regarding current employees:
Benefits Practices
The majority (76%) of responding firms answered that local compensation and benefits decisions are made by local managers, while 24% reported that these decisions were made by a corporate or another office outside the Charleston area. Some added clarifying comments that their local operation implements certain corporate programs and/or policies but maintains site autonomy.
Firms were asked about certain benefit options and whether their organizations subsidize or cover at least some portion of the premium costs for employees as well as their dependents. More than half of responding firms subsidize or cover some portion of the premium for both their employees as well as employees’ dependents for medical insurance, prescription coverage and dental and vision insurance. In addition, more than half subsidize or cover some portion of the premium for life insurance, short- and long-term disability and accidental death/ dismemberment coverage, but for the employee only.
PERCENT OF EMPLOYERS WHICH COVER OR SUBSIDIZE BENEFIT COSTS FOR:
When survey respondents were asked about benefits offered to part-time employees, about one-third reported that they did not have part-time workers, but of those who did, a majority (56% of manufacturers and 60% of nonmanufacturers) indicated that they offer a reduced amount or set of benefits to part-time employees compared to full-time employees.
Study participants were asked about the waiting period, if any, before employees are eligible for insurance coverage benefits. Nearly half of all responding firms reported no waiting period or that employees were eligible the first of the month immediately following hire. Manufacturers were more likely than non-manufacturers to report a 60or 90-day waiting period before eligibility.
HOW LONG OF A WAITING PERIOD, IF ANY, IS THERE FOR YOUR EMPLOYEES TO BE ELIGIBLE FOR INSURANCE COVERAGE BENEFITS?
MANUFACTURERS:
NON-MANUFACTURERS:
The vast majority of all respondents (84% of non-manufacturers and 94% of manufacturers) reported that there was no difference in the eligibility waiting period for hourly employees as compared to salaried employees.
Employers were asked about other benefits, plans and policies they have in place or are considering implementing for employees, such as flexible work schedules, telecommuting, health savings accounts, wellness incentives, drugtesting, etc. The responses are separated below by manufacturing and non-manufacturing employers:
MANUFACTURERS:
401k, 403b or similar plan
Workplace violence policy
Non-monetary recognition (gifts, plaques, etc.)
Bullying policy
Employee discount programs
Employee assistance program (EAP)
Drug testing for cause policy (post-incident)
Pre-employment drug testing policy
Health savings accounts (HSA) / Health reimbursement
Flexible work schedules
Tuition assistance (partial or full)
Paid professional development
Executive / Manager / Coaching services
Compressed work weeks
Sustainability policy
Paid sick-leave separate from other paid time off
Flexible spending accounts (for medical and dependent care)
Work-from-home / Telecommuting options
Random drug testing policy
Staggered work schedules
Wellness incentives / support
Pet insurance
Adoption assistance
Company vehicle or vehicle subsidy
Discouraging workers from checking work during time off
Other retirement / pension plan besides 401k or similar
Employee stock ownership plan (ESOP) / stock option
Student loan repayment assistance (partial or full)
Education savings plan (529, etc.)
Legal coverage / prepaid legal
Employer-subsidized child care (on or off-site)
On-site health care professionals
Commuting incentives
Job sharing
Shift swapping
On-site gym / fitness
Employer-subsidized elder care
Employer-subsidized housing / mortgage / rent
Have in place Considering
401k, 403b or similar plan
Workplace violence policy
Non-monetary recognition (gifts, plaques, etc.)
Employee assistance program (EAP)
Health savings account (HSA) / Health reimbursement
Work-from-home / Telecommuting options
Flexible spending accounts (for medical and dependent care)
Flexible work schedules
Drug testing for cause policy (post-incident)
Paid professional development
Paid sick-leave separate from other paid time off
Pre-employment drug testing policy
Bullying policy
Tuition assistance (partial or full)
Wellness incentives / support
Employee discount programs
Executive / Manager / Coaching Services
Random drug testing policy
Staggered work schedules
Other retirement / pension plan besides 401k or similar
Discouraging workers from checking work during time off
Company vehicle or vehicle subsidy
Pet insurance (not necessarily company paid)
Compressed work weeks
Sustainability policy
Employee stock ownership plan (ESOP) / Stock option
Legal coverage / prepaid legal
On-site gym / fitness
Student loan repayment assistance (partial or full)
Shiftswapping
Education savings plan (529, etc.)
Commuting incentives
On-site health care professionals
Job sharing
Employee subsidized child care (on or off-site)
Adoption assistance
Employer-subsidized elder care
Employer-subsidized housing / mortgage / rent
Have in place Considering
401k and Retirement Benefits
The survey also asked for details about the structure and vesting schedule of employers’ 401k or similar shared employer-employee contribution plans, which the majority of firms reported offering.
The most commonly reported employer match was dollar-for-dollar up to 3% or 4% of an employee’s contribution. Manufacturers were more likely than non-manufacturers to report that employees are fully vested immediately upon participation.
401K OR SIMILAR SHARED EMPLOYER-EMPLOYEE CONTRIBUTION PLAN MATCH / VESTING SCHEDULE
# of respondents — All firms: 77 | Manufacturers: 17 | Non-manufacturers: 60
401K OR SIMILAR
Our firm does not offer a 401k or similar pan.
Our firm offers a 401k or similar plan but does not offer an employer match.
Our firm offers a dollar-for-dollar match up to 3% or 4% of an employee's contribution.
Our firm offers a dollar-for-dollar match up to 5% or 6% of an employee's contribution.
Our firm offers less than a dollar-for-dollar match to an employee's contribution (ex: employer's 50 cents match to employee's dollar contribution).
Other match scenario or not reported.
VESTING SCHEDULE
Employees are immediately fully vested upon participation.
Employees are vested on a tiered schedule over time (certain % after certain # of years)
Employees are fully vested after 1 or 2 years of participation, with no tiered schedule.
Employees are fully vested after 3 or 4 years of participation, with no tiered schedule.
Employees are fully vested after 5 or more years of participation, with no tiered schedule.
Other vesting schedule scenario or none reported.
All Firms Manufacturers Non-manufacturers
Tuition Assistance
Participating employers were asked for details about any tuition assistance they might offer. Most manufacturers and nearly half of non-manufacturers reported offering this employee benefit in some fashion.
TUITION ASSISTANCE
# of respondents — All firms: 70 | Manufacturers: 15 | Non-manufacturers: 55
Our firm does not currently offer tuition assistance.
Our firm does currently offer tuition assistance.
OF THOSE RESPONDENTS WHO REPORT OFFERING TUITION ASSISTANCE
(multiple terms may apply):
Our firm's policy offers up to the IRS tax-free maximum of $5,250 per employee per year (as of July 1, 2025).
Our firm's policy offers up to an amount less than the IRS maximum of $5,250 per employee per year (as of July 1, 2025).
Our firm's policy requires a certain length of service before the tuition assistance benefit is available to employees.
Our firm's policy requires that the tuition assistance benefit is related to employe e's job or employment path.
Our firm's policy requires that the tuition assistance benefit is linked to a minimum final grade or other defined successful completion.
Our firm's policy requires that the tuition assistance benefit must be pre-approved before the education/training.
Our firm's policy requires full or scaled payback of tuition assistance if the employee leaves the firm before a specified time past the successful completion of the approved class, certificate or degree
Paid Time Off, Pay Increases and Other Compensation Practices
When asked if firms award paid leave based on a worker’s date of hire or a fiscal/calendar year, some indicated both, suggesting perhaps different policies for different types of workers. Generally, respondents tend towards “date of hire,” with a majority of both manufacturing and non-manufacturing firms indicating this option.
The median number of total paid holidays, including floating days, offered annually to employees is 10, and the average is 11, with similar trends reported by both manufacturing and non-manufacturing respondents.
The survey asked about the number of days of paid leave (other than holidays) awarded to employees at various milestones of service
DAYS* OF PAID LEAVE AWARDED BY MILESTONE
*When respondents answered in terms of hours, the response was converted to days based on an eight-hour workday.
When asked about paid leave for part-time workers, many noted that they do not have part-time employees. Those that do reported that they typically do not offer paid leave to part-time workers or they offer it on a different accrual schedule than for full-time workers. Alternatively, when comparing hourly and salaried employees, a majority of both manufacturers (78%) and non-manufacturers (61%) reported offering paid leave to both on the same accrual schedule.
Employers were asked, “If a worker doesn’t use all earned paid leave within a required time, what happens?” The majority of both manufacturers (59%) and non-manufacturers (70%) reported that employees can get paid for the unused leave or carry over some or all of it into the next year.
The survey inquired specifically about paid maternity and paternity leave offered beyond any existing medical disability or employee-accrued leave:
For maternity leave:
• The majority of manufacturers (53%) reported 0 additional days. For those manufacturers who did report additional days, the average was an additional 23 days.
• The majority of non-manufacturers (58%) reported offering some additional days, and the average of those responses was 31 days. Still, the most frequent single response by non-manufacturers was “0” additional days.
For paternity leave:
• The majority of manufacturers (53%) reported 0 additional days. For those manufacturers who did report additional days, the average was an additional 18 days.
• The majority of non-manufacturers (51%) reported offering some additional days, and the average of those responses was 16.5 days. Still, the most frequent single response by non-manufacturers was “0” additional days.
Employers were asked: “What is your firm’s policy regarding compensation for hourly employees for work-hours ‘lost’ due to circumstances beyond their control such as mandatory evacuations, severe weather events, government shut-downs, etc.?” Results were as follows:
NON-MANUFACTURERS: 58 RESPONDED pay hourly employees for all hours lost in these cases pay only for hours worked and allow PTO (paid time off) evaluate pay during such events on a case-by-case basis
MANUFACTURERS: 17 RESPONDED
not have a policy for “lost” hours due to such events
Pay Increases
Most organizations responding to the survey (78.5%) reported they update their base pay structure annually, while others do so every two to five years, “as needed,” or depending on other factors at play.
The most common basis for pay increases was “merit-based/employee performance,” as reported by 81% of firms, followed by 62.5% reporting “cost of living” and 36% reporting “company performance” as drivers.
Study participants were asked about the rate of employee pay increases in the firm’s current or most recent fiscal year and those budgeted for the next fiscal year.
PAY INCREASE, CURRENT OR MOST RECENT YEAR
PAY INCREASE, BUDGETED FOR NEXT FISCAL YEAR
How do local pay increases compare to the trend nationwide? According to the U.S. Bureau of Labor Statistics, wages and salaries increased nationwide an average of 3.6% overall for all civilian workers in all sectors for the 12-month period ending June 2025. Goods-producing workers nationwide received a 3.9% pay increase on average, and serviceproviding workers averaged 3.6%. (Latest can be found here https://www.bls.gov/news.release/eci.t08.htm)
Overtime Pay, Bonuses and Shift Differentials
Firms were asked about their current typical operating schedules.
About a quarter of manufacturers (24%) reported they typically operate four days a week, while most (59%) reported a 5-day week and the rest reported a 6- or 7-day week. The majority of non-manufacturers (63%) indicated they operate five days a week, while nearly a third (29%) reported a 7-day week.
HOW MANY HOURS DOES YOUR CHARLESTON REGION FIRM TYPICALLY OPERATE PER 24-HOUR PERIOD?
The “other” write-in responses included options such as two 8-hour shifts, 20-hour days (two 10-hour shifts), staggered shifts and 24-hour shifts for some positions.
In conjunction with operating schedules, employers were asked about pay formulas for overtime, holidays and other situations. Firms responding to the survey tend to pay the regular base rate until an employee reaches 40 hours per week, beyond which a rate of 1.5 times a worker’s regular pay applies. When it comes to holiday work, the majority of employers reported paying a premium, with some paying “time & ½” and some paying double. For called-in or on-call hours, most employers reported paying the employee’s regular base rate, while some offer premium pay as shown below.
WHAT IS YOUR STANDARD PAY FORMULA FOR HOURLY EMPLOYEES IN THE FOLLOWING SITUATIONS?
While the majority of participating employers (88%) reported no seasonal change in operating hours, some (13%) indicated that they have a seasonal change in operating hours as an employee benefit (example: half-day Fridays during the summer).
Manufacturers most often (53%) reported paying shift differentials for non-traditional work hours, while the majority (76%) of non-manufacturing respondents reported they do not. Both manufacturers and non-manufacturers that did report paying shift differentials most frequently reported a premium of $1 per hour for the second or third shift.
The majority (76%) of all participating firms reported using some form of bonuses as part of their compensation packages for employees.
DOES YOUR FIRM OFFER ANY
OF
THE FOLLOWING TO EMPLOYEES?
Sign-on bonuses at hiring
Finally, survey participants were asked about their organizations’ fringe benefits as a percentage of their total annual compensation costs. Total compensation was defined as the value of fringe benefits plus payroll. Fringe benefits were defined to include health and life insurance, leave and holiday pay, short- and long-term disability, 401K match, tuition reimbursement or assistance, payroll taxes, workers compensation, unemployment insurance and any other employer-paid benefits.
The most frequent response from both manufacturers and non-manufacturers was that benefits make up 31-40% of their total annual compensation costs.
How does this compare to the national trend? As of June 2025, the national average for benefits as a percentage of employers’ total compensation costs is 31.3% for all civilian workers, according to the U.S. Bureau of Labor Statistics. For private sector employers, the average is 29.8% and for state and local government employers, the average is higher at 38.5%. Employers in goods-producing industries average 32%, while those in service-producing industries average 29.3% of total compensation in the form of fringe benefits. (Latest can be found here https://www.bls.gov/ news.release/pdf/ecec.pdf )
Please refer to the following appendix for details on all questions in the survey.
Appendix: 2025 Survey Questions and Total Results
1. What is the primary operation of your Charleston area facility or facilities?
2. County of Local Operation (check all that apply):
3. As of July 1, 2025, for your company’s Charleston region location(s), please fill in the following regarding current employees:
4. Are compensation and benefits decisions regarding your Charleston area location(s) made locally or by another group or corporate entity outside the Charleston Metro Area?
Yes, local compensation and benefits decisions are made by local managers or staff
No, compensation and benefits decisions for our Charleston area location(s) are made by an external group or corporate office outside the Charleston area
Other (please specify or add comments):
Some indicated a blend of local and offsite decision-making.
5. Please indicate which benefit option(s), if any, that your organization subsidizes or covers the costs of premiums (or claims, if self-insured) for each employee profile presented:
6. How long of a waiting period, if any, is there for your employees before they can receive insurance coverage benefits?
7. Does your firm's policy require a different waiting period for insurance benefits eligibility for hourly employees than for salaried employees?
8. Which of the following plans or policies do you offer or are you considering implementing for employees?
workers from checking work emails/texts/calls when off
9. If your firm has part-time employees, please check all that apply regarding benefits offered:
Our firm does not have part-time employees
Our firm offers the same benefits to parttime employees that it does to full-time employees
Our firm offers a reduced amount or set of benefits to part-time employees in comparison to full-time employees
10. If your firm offers a 401k or similar shared employer-employee contribution plan, what is the employer match rate and vesting schedule? (Please check all that apply.)
Our firm does not offer a 401k or similar pan.
Our firm offers a 401k or similar plan but does not offer an employer match.
Our firm offers a dollar-for-dollar match up to 3% or 4% of an employee's contribution.
Our firm offers a dollar-for-dollar match up to 5% or 6% of an employee's contribution.
Our firm offers less than a dollar-for-dollar match to an employee's contribution (ex: employer's 50 cents match to employee's dollar contribution)
Other match scenario or not reported
Employees are immediately fully vested upon participation.
Employees are vested on a tiered schedule over time (certain % after certain # of years)
Employees are fully vested after 1 or 2 years of participation, with no tiered schedule.
Employees are fully vested after 3 or 4 years of participation, with no tiered schedule.
Employees are fully vested after 5 or more years of participation, with no tiered schedule.
Other vesting schedule
11. If your firm offers employees some form of tuition assistance, what are the terms of eligibility, amount of annual entitlement or loan, and repayment period, if applicable? (Please check all that apply.)
of respondents to this question:
Our firm does not currently offer tuition assistance.
Our firm does currently offer tuition assistance.
Of those respondents who report offering tuition assistance (multiple terms may apply):
Our firm's policy offers up to the IRS tax-free maximum of $5,250 per employee per year (as of July 1, 2025).
Our firm's policy offers up to an amount less than the IRS maximum of $5,250 per employee per year (as of July 1, 2025).
Our firm's policy requires a certain length of service before the tuition assistance benefit is available to employees.
Our firm's policy requires that the tuition assistance benefit is related to employee's job or employment path.
Our firm's policy requires that the tuition assistance benefit is linked to a minimum final grade or other defined successful completion.
Our firm's policy requires that the tuition assistance benefit must be pre-approved before the
training.
Our firm's policy requires full or scaled payback of tuition assistance if the employee leaves the firm before a specified time past the successful completion of the approved class, certificate or degree.
12. How many total paid holidays, including floating days, do you provide employees each year?
13. Does your firm award paid time off (other than holidays) based on a worker’s date-of-hire or your firm’s fiscal/calendar year? (check both if applicable)
Our firm does not offer paid time off other than holidays.
14. How many days of paid leave (other than holidays) per year does your company offer to an employee upon reaching the following lengths of service?
Days* of paid leave awarded as of this milestone:
*When respondents answered in terms of hours, the response was converted to days based on an eight-hour workday
15. Does your firm offer part-time employees paid leave on the same accrual schedule as full-time employees?
Answer Options
Our firm does not have part-time employees.
Yes, our firm offers part-time employees paid leave on the same accrual schedule as full-time employees.
No, our firm offers part-time employees paid leave on a different accrual schedule as full-time employees, or part-time workers do not earn paid leave.
16. Does your firm offer hourly employees paid leave on the same accrual schedule as salaried employees?
our firm offers hourly employees paid leave
17. How many days of paid maternity leave (beyond any existing medical disability or employee-accrued leave) does your firm provide? If the answer is “none” please enter a 0.
18. How many days of paid paternity leave (beyond any employee-accrued leave) does your firm provide? If the answer is "none" please enter a 0.
19. If a worker doesn’t use all earned paid leave within the required time, what happens (check all that apply)? Answer
20. What is your firm's policy regarding compensation for hourly employees for work hours "lost" due to circumstances beyond their control such as mandatory evacuations, severe weather events, government shut-downs, etc. (check all that apply)?
Options
Firm does not currently have hourly employees
Firm does not currently have a policy for "lost" hours due to such events
Pay hourly employees only for hours worked and allow earned or available PTO (paid time off) for the "lost" hours to be taken
Pay hourly employees for all hours "lost" in these cases
hourly employees for 50% of lost hours in these cases
specify):
21. What is your standard pay formula for non-exempt employees in the following situations?
22. How often is your firm’s base pay structure updated?
(please specify)
Several used “Other (please specify)” responses to clarify “as needed” or driven by a council or assembly.
23. What is your firm's primary basis for pay increases (check all that apply)?
24. Does your firm offer any of the following to employees (check all that apply):
“spot
25. How many days does your Charleston region firm typically operate per week?
26. How many hours does your Charleston region firm typically operate per 24-hour period?
Other (see below:)
“Other” responses included options like two 8-hour shifts, 20-hour days (two 10-hour shifts), staggered shifts and 24-hour shifts for some positions
27. Does your local operation have any seasonal change in operating hours as an employee benefit (for example, 1/2-day Fridays in summer)?
28. If your firm operates more than one shift, do you have rotating shifts?
29. Does your firm pay shift differentials for non-traditional work hours?
30. If yes, what is the average rate? (Please enter the dollar or percentage rate your firm pays in shift differentials for non-traditional work hours.)
31. What was the average percentage pay increase (if any) per full-time employee during your firm's current or most recent fiscal year?
32. What is the average percentage pay increase (if any) per full-time employee budgeted for your firm’s next fiscal year?
33. What percentage of your firm’s total annual compensation costs are fringe benefits? (To calculate: Value of Fringe Benefits divided by Total Compensation. Total Compensation = Fringe Benefits + Payroll. Fringe Benefits include health and life insurance, leave & holiday pay, short- & longterm disability, 401K match, tuition reimbursement, payroll taxes, workers comp, unemployment insurance and any other employer paid benefits.)
Methodology
The survey was designed by the Charleston Metro Chamber of Commerce and Charleston Regional Development Alliance (CRDA) with consultation from local human resources experts to ensure the effectiveness of the survey’s questions.
Participation in the study was promoted through various avenues including human resources associations and directly to employers through chamber and ally communications. More information on project partners can be found at their respective web sites: Charleston Metro Chamber, CRDA, Greater Summerville / Dorchester County Chamber and Berkeley Chamber.
All information submitted by individual companies in the online survey is confidential. Aggregated results of all question-and-answer details are provided in the appendix section of this report.
For more information about the study, contact the Charleston Metro Chamber at 843-577-2510 or CRDA at 843-7679300, or visit the organizations’ web sites at www.charlestonchamber.org and www.crda.org.
