Have you found yourself hiring great employees only for them to be tempted by another company a few months or a year down the road? The struggle is real - the average turnover rate (for all voluntary and involuntary) is around 19% across all industries. What's more, businesses of all sizes are finding themselves in a bidding-war situation as they are forced to be more competitive in luring quality employees through their doors. Therefore, employee benefits are an increasingly important consideration for workers selecting which job to accept.
The challenges of finding and keeping good employees have always been there. In recent years, however, the pandemic has redefined the rules and forced business owners to think more critically about what they offer and why. Additionally, there is a major issue with an aging workforce in many long-term careers. As people with experience leave, there's a huge space to fill and while there are many talented younger employees out there, in many cases they might not be enough. Some industries are flooded with poorly qualified applicants and others have the fortune of having too many great prospects who simply won't stay long. Either way, it seems you're forced to hire someone for a short time and expect to replace them sooner than you'd like.
It doesn't have to be like this, though - one of the primary factors that make employees stay is the benefits package. Sure, you might offer a 401k and a great salary, but if it stops there, you won't have people sticking around. What's great is that there are many types of benefits that aren't hugely expensive for you but will make your employees value your company significantly, cutting down on turnover and helping you snag qualified people.
Many companies are learning to leverage benefits to suit the needs of their employees. In a world of remote work and massive job choices, a quality set of benefits can turn great employees into long-term assets.
1) Benefits that are legally required - the “have-to” category,
2) Benefits that aren’t required but are expected - the “should-have” category
3) Benefits that are simply advantages, many of which don’t cost a business owner anything, that will give a business an edge, making it a more appealing place to work - the “nice-to-have” category.
COVID caused havoc on companies and 20 million jobs evaporated across the US. Today, companies are looking to grow and thrive. There will always be challenges for businesses that they cannot control: pandemics, the economy, government regulation, etc. Don't let employees be one of those. You CAN control more than you think when it comes to winning quality employees and retaining them for the long haul. People are evaluating and competitively selecting their next employer by looking at and negotiating benefits plans. In fact, benefits have replaced compensation as the top reason people choose one company over the next. Make sure you are equipped to compete.