Employee benefits are an essential component of any competitive compensation package. They are the additional perks, programs, and incentives that companies offer to attract and retain the best talent. Benefits can come in various forms, such as healthcare, retirement savings, paid time off, and other types of insurance.
Offering strong benefits can have a positive impact on employee morale, job satisfaction, and overall productivity. Employees who are satisfied with their benefits are more likely to feel valued by their employer, which can increase their loyalty and reduce turnover rates. Additionally, offering benefits can help companies attract top talent, especially in highly competitive job markets.
Moreover, benefits can have a positive effect on employee well-being. Access to healthcare, wellness programs, and mental health services can support employees’ physical and emotional health, making them feel more engaged and motivated at work. Benefits such as flexible work schedules and paid time off can also help employees maintain a healthy work-life balance, which can improve their overall quality of life.
In 2023, beyond key components of salary, flexibility and location, candidates are now utilising benefit packages to choose between employers. Still, organisations are still failing to offer candidates unique benefits they actually want. Here’s a list of benefits organisations need to offer:
🏠 Home Office Budget – employers should offer a specific budget each year to employees to improve their quality of life while working from home.
🕒 Pre-start PTO – individuals rarely take time off between jobs due to financial needs. Organisations should offer employees paid time off before starting their new role.
🗺 Work Anywhere – allow employees to work remotely overseas for short-periods of time each year. Employees can then extend holidays, or differentiate their place of work.
👼 Workplace Nursery Benefit – enables parents who have chosen nursery care for their child whilst they are at work to save tax and NI on all of their nursery fees.
🧑🏫 L&D Budget – employees value continuous learning, and employers should offer individuals a specific budget to spend on training every year, including development programs and mentorship opportunities.
🏝️ Unlimited PTO – if your culture embraces annual leave (and it should), giving people the option to have unlimited days off can be a game changer.
🛐 Flexi Bank Holidays – not everyone aligns with the same calendar; offer employees flexibility to take their local country’s bank holiday allowance for other religious or cultural days.
🏖️ Career Breaks / Sabbaticals – allowing employees to take extended periods of time off gives them the ability to fully recharge (and paid ideally).
👨👩👦 Enhanced Parental Leave – offering individuals extended paid leave when they become a parent (birth or adoption), regardless of their gender, country of residence or family circumstance.
🧠 Mental Health & Wellbeing – could include providing employees with frequent workshops, 1-1 sessions, wellbeing subsidy or mindfulness app subscriptions.
👶 Fertility Treatment – either financial support or extended time off for medical appointments and treatments.
🏥 Private Health Insurance – offering employees a private health policy can deliver significant long-term benefits to both your business and your employees.
💸 Pension – employees plan for the future; don’t underestimate the importance of a decent pension, and going beyond the minimum pension contribution goes a long way.
In summary, company benefits are crucial for attracting and retaining talent, improving employee morale, and supporting employee well-being. Companies that invest in their employees’ well-being through benefits can create a more engaged, productive, and loyal workforce. Benefits also should be tailored; not everyone will become a parent; not everyone will want Unlimited PTO. It’s not all about money or budget, it’s about personalisation and meeting the diverse needs of your employees.