If you’ve ever wondered how important a good employee benefits package is, the answer is, very.
The advantages of providing strong staff benefits should never be underestimated. Not only is it a way to create a happy, motivated workforce with staff who feel valued and inspired to work hard, but it can also play a big part in your company’s success – helping the business to run smoothly and giving you a competitive edge.
And it’s becoming increasingly important to talented candidates when looking for their next role. Here at Langley, we’re finding that candidates’ questions about salary now come hand-in-hand with questions about the wider benefits package on offer.
So, what are employee benefits?
Employee benefits are types of compensation or perks that companies provide to their staff over and above their wages. These can either be paid benefits, such as insurance, or benefits that are low-cost or even free to the employer, such as flexible working.
There’s a long list of benefits that companies can offer, but some of the most popular benefits include:
Occupational sick pay
Learning and personal development
Flexible working and home working
Fitness classes and wellness treatments
Cycle to work scheme
Salary sacrifice childcare
Mental health support
Early finish Fridays
Varying your benefits
Although some benefits may seem more useful than others, it’s important to remember that everyone will value each benefit differently. For a busy working parent, flexible working could be a godsend, and one of the top reasons they stay with a company. Whereas for someone who’s focused on career progression, the opportunity to learn more and develop in their role could be of greater value to them.
So, it’s good to have a variety of benefits available, which cater for the preferences and needs of all staff members.
How your business will benefit
If you’re thinking about introducing a benefits package, or you’re reviewing the benefits you currently offer, then here are some top reasons you should think big and be generous – as the positive implications for your business could be significant:
1. Attract the top talent
It’s a competitive time for companies who are recruiting, and so offering a tempting benefits package is a great way to stand out from the crowd and catch the eye of the best candidates.
If you don’t, then you risk losing them to other businesses who do. And when you consider that it’s the quality and performance of your workforce that drive your company’s success, it’s definitely worth the investment.
2. Boost staff retention
Not only will a great benefits package help you attract the top talent, it can also help you retain it.
When employees feel valued and they feel their needs are being considered, they’re much less likely to go looking for a new role, which creates a stable workforce. And a stable workforce tends to lead to good staff morale and successful teamwork – which can lead to better outputs overall.
You’ll also save money on recruitment and training costs when staff retention is good.
3. Maintain a healthy workforce
The Covid pandemic has shown us how presenteeism – going to work when ill – can impact on the health of an entire team. Whereas once staff may have been applauded for battling on despite a bad cold, we now realise it’s much better for someone to take time out to recover and stop the spread of illness. So, offering paid sick leave will allow them to do this, both speeding their recovery and protecting the health of your wider team.
Where wellbeing benefits are offered, such as gym membership or fitness classes, staff will feel good and ready to perform at their best.
And if health insurance is part of your benefits package, you can reduce the amount of time an unwell employee needs to take of work, by helping them to access treatment more quickly.
4. Increase morale and productivity
A happy, stable workforce is a productive workforce. When staff don’t need to worry about their healthcare provision or childcare costs for example, they’ll have more time to focus on their job.
And a good benefits package will increase staff loyalty, meaning they care more about the success of the company and want to see it thrive. When they feel valued, they’re much more likely to go the extra mile in the pursuit of a successful outcome for your business.
5. Enhance your reputation
Consumers today are much more aware of how companies treat their employees. And when a company treats its employees well, word soon gets around.
This can help to boost your public image, as well your reputation amongst current and future job seekers.
6. Save you and your employee money
Some employee benefits get preferential tax treatment, often reflective of government policies to encourage certain behaviours, such as cycle-to-work schemes or pensions.
Under a pension salary sacrifice scheme for example, the employee gives up part of their gross pay, whilst the employer makes an equivalent contribution to the pension. As a result, the employee saves on income tax and both the employer and employee save on national insurance contributions.
Boosting your benefits with rewards and incentives
And if you want to really drive employee recruitment and retention, introducing a rewards scheme can also be highly effective. This can include individual rewards, such as awarding a bonus to an employee when they hit their targets or thanking them with an iPad for the successful completion of a project.
Or it could be a wider, team incentive, such as a team dinner after a successful week, or a team trip away when the team collectively hits their targets.
Benefits in the recruitment process
If you’re recruiting and you’d like to find out more about the benefits the most talented procurement and supply chain candidates are looking for, why not get in touch.
With over twenty years of experience in supply chain and procurement recruitment, in both the public and private sectors, we’ve gained some good insights into which benefits can help to seal the deal.
Contact us here or give us a call on +44(0)333 366 0839.