It’s no secret that traditional benefits packages no longer meet the needs of the modern workforce.
Today’s employees know what they want from employer-sponsored programs, but many companies continue to offer outdated options to employees instead of meeting modern requirements. Social packages and special benefits are great, but a one-size-fits-all approach is not ideal.
Traditional employee benefits packages are coming under scrutiny as many companies are beginning to discover the limitations of these benefit packages. Not only can you lose talented employees by not offering them the right benefits options, but you can also end up with an unhappy, disengaged team that doesn’t care about your company or its customers.
Employees who are not satisfied with the benefits and support they receive from their employer may decide it’s better to leave than to stay and wait for change.
More and more companies are offering more flexible packages and putting the choice in the hands of their employees. Employee benefit plan providers now offer much more flexible plans that can be tailored to the needs of both employers and their employees. This makes it easier for human resources (HR) departments to find the right options and helps companies save money in the long run, as each plan is tailored to the size of the company and the demographics of its employees.
So what trends are developing in the world of employee benefits? And how can companies transition to modern benefits options for their employees while staying within budget?
Let’s dive into a discussion of the challenges associated with traditional employee benefits to find out.
Aligning corporate benefits with employee lifestyles
Employers and employees want the same thing – to save money. On the one hand, employers can save money by not paying for unused employee benefits. On the other hand, employees save money when a flexible benefits package helps them pay for their lifestyle needs.
Customizable employee benefits packages are the best way to attract top talent to your company. Personalized benefits, however, go far beyond traditional healthcare costs. With the growing demand for talented employees, employers are realizing that financial and social benefits are two ways to stay competitive.
Diversified benefits packages not only help attract top talent, but also boost morale among existing team members and foster a sense of loyalty.
However, too many options can be overwhelming. It’s important to understand what kinds of benefits your employees are looking for and offer options that fall within those categories. A simple survey in the office can give you answers to these questions. Meanwhile, analytics that track benefits utilization will show you which ones are being used and which ones are not. A better understanding of your workforce and the lifestyles they live can help you forecast benefits costs.
Choice plays an important role in a modern employee benefits plan, and technology makes it even easier. A centralized benefits hub helps HR track and analyze benefit usage. They can see what’s popular with staff and pass cost-saving suggestions up the chain. If HR values technology, employees will also be excited about it. They expect an easy-to-use, one-stop platform that tracks and explains all the benefits at their disposal. Gone are the days of multiple usernames and passwords. A centralized benefits platform is the way to go to benefits heaven.
Gym and health club memberships instill a culture of health and wellness among your staff. Healthier staff means fewer sick days. They work harder, smarter, and faster when their minds and bodies are in shape. Mindfulness training and wellness programs are the first building blocks in a long chain of company success.
PERKSET offers its customers favorable prices for products from hundreds of suppliers, allowing them to easily see what is available to them.
Bridging the gap: Modern employee benefits options
Diversified employee benefits options are definitely the way to go. Your marketing team monitors and analyzes trends in an evolving market. Why shouldn’t your HR department do the same for employee benefits?
A variety of employee benefits attracts a diverse workforce. 80% of employees prefer additional benefits over a salary increase.
So how can companies that still operate under a traditional employee benefits model move to a more flexible model?
A lifestyle spending account (LSA) is one of the most popular ways to diversify your employee benefits package and the most flexible package you can offer. It’s more like a private bank account for each employee that funds pre-approved purchases for everyday life.
When implementing change, a set budget combined with achievable goals is paramount. There is no single answer to the question of the size of the budget in dollar terms. Consult with your financial advisor to determine how much you are spending on employee benefits, where you can save money, and where you can reallocate money.
The Bureau of Labor Statistics recently released data showing that employers on average pay their employees more than 30% of their total compensation and benefits.
Your goals, however, are entirely your own. And they are determined by your unique circumstances. Do you want to stand out in the labor market and attract new talent to a growing company? Or are you an established firm looking to retain your workforce for years to come?
Integrating with a provider network makes it easier for employees to choose the benefits that work best for them and their families.
Provide solutions for modern businesses with PERKSET.
The modern workforce is a diverse group of people with different lifestyle needs. Some are more concerned with health, while others need expenses for education, commuting, and childcare. Spending accounts are a popular way to diversify your employees’ benefits packages, and PERKSET makes it easy.
The PERKSET marketplace offers 10-30% more purchasing power, which allows the company to stay within budget. PERKSET allows everyone to understand, track and claim their benefits with increased transparency and simplicity. Discover the future of employee benefits with PERKSET and give your employees the benefits they need and deserve.
To evaluate all the benefits of PERKSET, request a DEMO at https://www.perkset.club/en