By Mary Koger, Leavitt Group
Recent studies show that the American workforce is becoming more dissatisfied, which has many employers concerned—especially as the job market improves. However, companies who respond now to this growing trend will be more likely to keep their key employees, maintain employee productivity, and foster positive employee morale.
One solution is delivering to employees a well-designed employee benefits package. Employees who are satisfied with their benefits are loyal to their employers. Effective benefits packages have been shown to help restore employee loyalty and drive employee engagement. In addition, benefits are effective in attracting new employees.
When planning an employee benefits package, employers should think beyond only medical benefits. Retirement benefits, life, dental, and disability insurance are attractive plan components for employees, though studies show that only about 37 percent of employers recognize these elements as an important part of the benefits package. By including these, employers can strengthen their plan and deliver to employees a more competitive benefits offering.
Employers should also consider voluntary insurance benefits as well as supplemental or discount benefit packages, which can add value to a benefits plan with little or no cost to the employer. Voluntary benefits are insurance products that are available to employees at rates lower than what they could obtain on their own. These may include dental, vision, life, disability, and cancer insurance. Supplemental or discount packages may include discounts for a number of products and services, such as chiropractic, dental, hearing, vision, retail and mail order pharmacy, vitamins and diabetic supplies, identity theft prevention, and roadside assistance.
Making generational distinctions when designing a benefits package can also improve a benefits plan. Providing a “one-size-fits-all package” is no longer an effective solution for group benefits needs. Rather, employers should choose options that provide employees with choice, flexibility, and customization to their unique needs. As the workforce becomes increasingly diverse, this will only become more important.
Of course, a well-designed employee benefits package provides the most value to organizations when employees know about it—which means employers must have an effective communication strategy. This is the best way to leverage a great benefits program and ensure full participation by employees. Electronic communications allow more efficient and timely delivery of information to employees, and many platforms and educational materials are available for employers to make their communications plan a success.
Contact your Leavitt Group advisor about ways to effectively design a benefits package that meets the needs of your workforce.
The coverages discussed herein are for illustrative purposes only. The terms and conditions of your specific policy may differ from those described. Please consult the provisions of your policy for the terms, conditions, and exclusions that apply to your coverage.