A shocking 95% of employees are considering walking away from their current job, according to a “Great Resignation” report from Monster. For some, there is no deal their management team could present that would defer their departure. However, those who are still on the fence are reflecting on various factors including new benefit offerings. Now more than ever, employers have the opportunity to transform employee perspectives and retain their employees by understanding their desires and expectations. Bill Gimbel of Employee Benefit News reports that “while many companies are offering sign-on bonuses, increased salaries, or flashy perks to win over talent, meaningful benefits can outweigh those all.”
What are benefits?
Benefit programs vary, but typically include medical, life and disability insurance, retirement income plans, PTO, and educational assistance programs. Most employers are required to provide mandatory benefits such as Social Security contributions, worker’s compensation insurance and unemployment insurance. Additional benefits are determined by the employer. In some cases, benefits can account for 40 percent or more of total compensation costs. Due to the significance of this financial investment, benefit packages must be purposefully crafted to meet the needs of both the employees and the employer.
Better Benefits Could Lower Turnover
The traditional, cookie-cutter benefit packages that often take a one-size-fits-all meaning will no longer be worthwhile for top performers. Stephanie Schomer of Employee Benefit News writes, “a holistic and ever-evolving approach to hiring, onboarding, benefits and perks is how employers can attract talent and build lasting loyalty. Take employees’ needs and preferences into account as you build benefits offerings.” The high percentage of the American workforce that is intrigued by new job opportunities demonstrates that job/company loyalty has decreased and further proves that leadership must present value outside of a paycheck.
What Young Talent Needs
Despite ending their college years during a pandemic, many workers from the COVID Generation are eager to start their careers and obtain meaningful experiences. As the job market gain strength, companies must put in the extra work to attract entry-level workers. LaSalle Network, a staffing, recruiting and culture firm, compiled survey data from more than two thousand recent graduates and discovered that young talent views medical coverage, 401(k) matching and flexible work hours as top benefits. Offering these benefits can help attract top-talent and help ensure your business stays desirable for generations to follow. However, as an employer, it’s important to remember that flexible schedules do not automatically equate to fully remote work. “Flexible work” could be as simple as modifying the work schedule, or enabling employees to choose a hybrid approach.
At the end of the day, offering meaningful benefits could be the difference between keeping your top talent and losing them to a competitor. Don’t neglect this important part of the recruitment and retainment process just because it can be complicated.
