Employee retention is a delicate balance for small businesses. You want to offer competitive wages and benefits while maintaining cost-effectiveness within your human resources budget. Better retention rates can lower your onboarding and hiring costs, which is why employee retention is a vital aspect of your business model. ClaimLinx explains common employer-paid benefits that increase employee retention.
Health Insurance Benefits
A survey by Willis Towers Watson stated healthcare benefits, including insurance, were the most important reasons respondents stayed with an employer when it came to employer-paid benefits. Nearly half of respondents, or 45 percent, in the 2012 Attraction and Retention Survey cited health benefits as an essential reason to stay there. A Glassdoor survey in 2015 also touted health insurance as valued by 40 percent of respondents. Health insurance continues to be a valuable retention tool when keeping employees with your firm.
The Willis Towers Watson survey also revealed 35 percent of employees said retirement packages were important sticking points. Glassdoor said 31 percent of its respondents liked retirement or pension plans. Consider a 401(k) plan or custom-designed retirement plan for your workers when it comes to employer-paid benefits.
Paid time off, flexible schedules, and family leave are all vital benefits that have value for employees. Surveyed workers wanted extra vacation time that accrues every pay period. Flexible work schedules give parents the ability to spend time with children, run errands, or attend school functions for the kids. A 2019 survey from the Work Institute shows work-life balance concerns are increasingly important for workers. Family leave, paid or unpaid, is an important factor when parents begin to take care of newborns. ClaimLinx can help you develop a health insurance strategy that works with your other employer-paid benefits to optimize your costs.
Education benefits can mean company training or tuition reimbursement. This employer-paid benefit comes in handy for workers seeking a promotion, a raise, or even better job satisfaction. Earning a college degree is one way workers can improve their quality of life while reducing their costs. Consider reinvesting in employees who graduate by increasing their responsibilities or promoting them.
Cost of Employee Turnover
The Work Institute states the cost of employee turnover is $15,000 per person. When you think about how much money you spend on employer-paid benefits, having the right ones in place can lower your turnover costs. In a highly competitive job market, retaining employees is more critical than ever.
ClaimLinx and Employer-Paid Benefits
ClaimLinx is home of the ClaimLinx Simple Option Solution. Our team utilizes a holistic strategy that blends health insurance coverage from a national carrier and a self-funded medical expense reimbursement plan (MERP) for optimal savings. Contact ClaimLinx or call toll-free (800) 858-1772 for more details.