If you’ve noticed a growing number of employees packing their bags recently, you’re not alone. A record number of Americans quit their jobs in 2021, and this trend has shown no signs of slowing down.
What can you do to keep your top performers while attracting job seekers during this period of unprecedented turnover? To start, you may want to reevaluate your employee benefits package.
What Is a Benefits Package?
An employee benefits package is a collection of all the tangible benefits you offer to employees, aside from their annual salary. Your package can include long-term investment tools, such as retirement benefits or stock options, wellness benefits, like paid time off or gym memberships, and various insurance benefits, including:
- Group medical insurance
- Dental insurance
- Vision insurance
- Short– and long-term disability insurance
- Life insurance
Some companies are required to offer certain tangible benefits. For example, the federal government requires all employers with 50 or more full-time employees to offer group health insurance. In most states, employers also have to offer workers’ compensation insurance. Many perks, like 401(k) options and education stipends, are voluntary.
A few intangible perks can also fall into your employee benefits package, including remote work options, in-office meals, onsite childcare, and flexible scheduling. Since the COVID-19 pandemic began, these benefits have become increasingly important. Recent data shows many employees would be willing to take a pay cut for remote work options.
Why Are Benefits Strategically Important to Employers?
Benefits aren’t just important to your employees—they also play a strategic role in your company’s success. A competitive benefits package can help you stand out to prospective employees, keep the right people on board, and foster a satisfied, productive workforce.
While employee benefits packages play a crucial role in attracting and retaining employees, they also cost employers money. Business owners need to consider their budget and what they stand to gain from purchasing good benefits. Offering benefits that are too costly can affect your bottom line, whereas choosing the cheapest option could cost you your most talented employees.
4 Reasons To Offer Employee Benefits
Whether your employee benefits package is nonexistent or a little lackluster, there are several reasons to offer employee benefits:
Job Seekers Value Employee Benefits
With so many opportunities available for job seekers, they’re calling the shots—not employers. While the biggest motivator for job seekers is salary, candidates are also looking for more benefits from their future company. Notably, current job seekers have expressed an increasing interest in remote and flexible work opportunities, which shows that less tangible benefits can be just as important as insurance and retirement accounts.
If you want talented job seekers to choose your company over a competitor, a comprehensive employee benefits package can help. However, great benefits can’t always make up for wages. Pairing your benefits plan with a salary comparable to your competitors’ can help your chances of hiring and onboarding the most qualified people.
Benefits Can Reduce Turnover
Recruiting new employees is important in growing your business, but keeping those talented employees is even more critical. It can cost thousands of dollars to hire and onboard a new employee, and the more often you have to do so, the more you’ll pay in the long run.
How do you keep the right people in the right place? For companies experiencing significant turnover, a better employee benefits package can help. If you can give your employees the benefits program they want, they will be less likely to seek out better benefits elsewhere. However, every employee is different, and even with an objectively excellent employee benefits package, there’s still no foolproof way to prevent turnover.
Are you unsure what your employees want? Learn about the most important benefits to job seekers and current team members.
Strong Benefits Improve Job Satisfaction
Offering different types of employee benefits sends an important message: you care about your employees and their well-being. And showing employees that you care can improve their job satisfaction.
If you’ve noticed your employees are unmotivated and don’t feel connected to your company, it might be time to look at your employee benefits package. While better insurance or retirement matching isn’t a cure-all for low productivity, it can keep your best employees from jumping at their next job offer.
Healthy Employees Are More Productive
It’s no secret that healthcare is incredibly expensive in the U.S., and many uninsured adults avoid seeking care due to costs. Providing good health insurance enables your employees to get the care they need when they need it—whether it’s a major surgery or a simple dental procedure. Receiving quick, prompt care helps your employees get better faster, which means fewer sick days and better productivity overall.
Health insurance isn’t the only benefit that can impact employee health. Providing a free gym membership, healthy food options, and wellness days can also lead to a healthier workforce.
Design Your Benefits Package With InSource
Are you struggling to retain and recruit new employees during the Great Resignation? InSource can help you gain a competitive edge in your industry with a comprehensive employee benefits package. Whether you want to ramp up your health benefits or add a few voluntary insurance options, we can work with our carrier partners to find the best plan for your budget.
If you’re struggling to afford your current employee benefits package, our team can help you find cost-saving alternatives and implement strategic methods to reduce your premiums. Instead of cutting your benefits and risking employee turnover, we use our long-lasting carrier relationships to reevaluate your coverage and find more affordable policies.
Do you want to learn more about our custom employee benefits packages for businesses across Texas and the nation? Get in touch to speak with one of our benefits experts or request a quote.