While hiring an employee, an employer does have its set of expectations for the employee. Similarly, an employee when getting hired does come in with a set of expectations apart from the monetary benefits a company has to offer. Many job seekers today consider joining companies that offer them additional employee benefits in the form of health coverage, wellness benefits, gym membership, childcare discounts, etc. Moreover, post the impact of COVID-19, the government of India as well as the Insurance Regulator, IRDA has made it mandatory for organizations to offer group health coverage to employees. While employees do benefit from the plethora of benefits you offer, as an employer, you too can benefit to a great extent. Here’s how.
What are employee benefits?
Employee benefits are the benefits you offer to your employees, above and beyond financial compensation. These benefits are offered by organizations keeping in mind the overall wellness of the employees. As per a 2021 Benefits Trends Survey, 68% of companies in India offer competitive employee benefits, whereas only 43% address the individual requirements of their workforce. The survey also revealed that in the next 2 years, top 65% of organizations will be including integrated well-being for employees in their benefits package. The motive behind doing this is to keep employees engaged and satisfied even in remote working environments.
Another survey by Quantum Workplace revealed that on average, employees whose organizations offered well-being and health benefits were 11% more engaged in their work in comparison to workplaces that don’t.
Importance of employee benefits
The importance of employee benefits helps an organization in more than many ways; it helps in improving the overall growth of the company, increasing productivity, employee engagement, etc., thus helping employers set themselves apart from their competitors.
Employees who are offered a host of employee benefits tend to feel more secure, satisfied, happy and committed to doing their work.
Below are a few of the top reasons why you should offer employee benefits.
Attract the best talent:
The business landscape in today’s time has become competitive owing to which it has become imperative for a business to hire the best talent. Getting hold of a quality workforce is necessary for any business to excel. Offering employees, a quality benefits package is one of the effective ways to do so.
Employee benefits apart from monetary compensation help in increasing employee job satisfaction, thus helping them stay engaged.
Employees who are talented and happy work well and they feel cared for, which thus increases productivity. You will also notice that such employees concentrate more on their work and have a low absence record. With an employee healthcare benefits plan, your workforce will no longer be worried about their health and lifecare requirements and continue working towards their job role without any pressure.
As HR, you don’t have to take special steps to make your employees work as a team. Organising Zumba sessions, yoga, and meditation sessions in groups as a part of employee wellness benefits is a good way to increase team spirit and make employees work towards the common goal of helping the company achieve great success.
Another reason why you should offer an employee healthcare benefits package is to boost employee morale. With great benefits, employees feel more valued and cared for. In return, as an organisation, you can expect the employees to be highly satisfied and motivated to work which makes it easy for you to manage them.
Improve the company’s reputation:
To attract new talent and even retain the best ones, having a good reputation is a necessity. Consumers today are ready to spend on brands that share their values and take efforts to keep their workforce happy. On the other hand, a company which is involved in treating their workforce badly is likely to fall prey to a PR scandal and lose business. One unhappy employee is all it takes to damage a company’s reputation. Hence, having employee-focused policies that work towards their well-being and happiness is important.
This relates to retaining the existing talent so that they can keep doing better, work as a team and even reduce employee turnover rate. Having experienced employees on the job always helps as they are aware of how the company works and can manage things single-handedly even. A great employee benefits package ensures that fewer employees leave the company.
The above benefits work well as a part of employee benefits for small businesses as well as large companies. The long-term benefits of employee healthcare and wellness outweigh the initial investment it requires as it helps employees lead a healthy work life whilst also benefiting you as an organization in more than many ways.