Does it? I think employers would be far better off if they didn't have to manage benefits. Having the employer administer everything was the deal we struck to provide socialist-like assurances for the middle classes while keeping the word "socialism" out of politics. The cost is every employer managing a complex system of benefits, workers navigating a bunch of different benefits systems as they change employers, more benefits systems to paper over gaps, and separate systems for a few categories of non-employed people that it would seem too brutal to leave unsupported. It's fantastically complicated, and there's no point to doing it that way except that we can call it capitalism.