- The Impact of Benefits on Attracting and Retaining Employees - September 13, 2022
According to Harvard Business Review, about 60% of workers take their benefits package into account when deciding whether to accept a job offer. Additionally, almost 80% of workers say they would rather have better benefits than a pay increase. Providing competitive benefits is essential to attracting and retaining top talent.
The right benefits improve reputation and retention
According to experts, organizations with good benefits have higher employee satisfaction rates and increased morale. Additionally, compared to businesses with smaller benefit packages, they typically have better employee retention. Benefits packages have an impact on your reputation, too, not just your retention, with prospective employees much more likely to accept a job offer from a reputable company.
Understanding which benefits are important
Understanding what employees value is a necessary component of developing successful benefits packages. Popular benefits include:
- Employee health care
One of the most desired benefits—and one of the most complicated—is health benefits. Some companies only offer health services, while others choose to offer robust dental, vision and health care packages.
- Retirement packages
A 401(K) or similar retirement plan is another benefit that many employees seek. The likelihood that an employee will work for a company for a long time is significantly influenced by these plans.
- Remote work benefits
In the past, remote employment was an uncommon benefit. However, the ability to work remotely has become commonplace in the wake of the COVID-19 pandemic. In fact, because remote work has been so successful in these historic times, many employees now expect it to be an option. As it can reduce the time and expenses associated with daily commute, remote work can significantly improve the attractiveness of an employment offer.
- Education benefits
Businesses are more likely to hire and keep valuable employees if they provide benefits like job training or tuition reimbursement. Education benefits are ranked third among employee benefits.
The pull of employee benefits when hiring is difficult
The success of your hiring efforts is heavily impacted by the quality of your employee benefits packages. They attract potential employees to your business and retain current talent as having comprehensive benefit packages can increase satisfaction and even work output.
For assistance developing a comprehensive employee benefits plan that will help to attract and retain top talent, feel free to reach out at [email protected] or 248-327-0463.