Employee benefits schemes can significantly improve job satisfaction, helping not only retain your employees, but also grab the attention of the top talent out there!
Company benefit schemes and perks are extremely important to employees, making a true difference, as employees who feel genuinely appreciated and cared for are far more productive, leading to an all round happier and more enjoyable workplace.
A recent survey shows that over half of UK-based respondents state they'd apply for roles based on employee benefits alone.
This is particularly important within the creative industry, as 64% of these individuals state they would consider quitting if alterations were made to their benefits package and one in three 'creatives' would opt for an extension to their benefits package over a pay increase, a statistic that may shock some employers.
REC research suggests that as a collective, 'millennials' are equally interested in the perks and benefits that are offered with a role, as money simply isn’t always their primary motivation.
"Sixty-four per cent of millennials say they would rather make less money and enjoy their job than make more money but hate it – the quality of work life is a key factor to consider when hiring." - REC, 2019
When recruiting, it's important to use company benefit schemes as a way of gaining interest and attracting the top talent.
What some people view as 'benefits', may act as a deterrent for others, therefore it's important to adjust and personalise the packages offered to the individual, creating a sense of connection and understanding between the company and employee, promoting an inclusive company culture and helping retain existing employees.
Our 2018 Salary & Benefits Survey, including data collected from over 300 Herefordshire & Worcestershire businesses, found the majority of employers offered the following benefits to their employees:
- Flexible working options
- Enhance pension contributions
- Private health insurance
- Additional holiday with long service
- Childcare vouchers
Many local businesses also offer:
- Car allowance
- Company Car
- Cycle to Work Scheme (or similar)
Is that enough?
Evidently, regardless if businesses are aiming for employee retention or talent acquisition, benefits packages are essential.
While many organisations, particularly SME's, often feel offering attractive benefits packages is out of reach, research shows the top three desired 'perks' are flexible working, contributory pensions and training - things of which are often offered as standard.
Its recommended that employers view there benefit schemes as a 'pyramid', as shown below, focussing initially on core benefits, such as pensions, bonuses and flexibility, before increasing or offering additional benefits in circumstances of strong performance and years of service.
Not only does this make benefit schemes cost-effective and manageable for employers, but also gives staff clear, achievable goals, ensuring engagement and loyalty.
The very peak of the pyramid revolves around 'feel good benefits', improving day-to-day work life, such as complimentary food and drinks, gym memberships and discounts. It's understandable that not all companies are able to offer such benefits, however, they could offer in-expensive alternatives, such as:
- Relaxed dress codes
- Team building activities
- Games room
- Development opportunities
"The more proactive a business is with updating employee benefits, the happier the employees will be and the longer they’ll stay.e more proactive a business is with updating employee benefits, the happier the employees will be and the longer they’ll stay."
What perks does your business offer? Do you think it's enough?