If you run a small business, you may never have understood the importance of running an employee benefits programme, however, there are many reasons why it should become a priority within your business strategies. This simple but effective scheme shows your workforce that you care and could even go as far as to make or break an employee’s decision to continue working for you. Investing in such a programme will require a huge financial commitment on your part, but is an integral aspect of your company's substance. In this guide, we’re going to look at the importance of employee benefits for your company:
1. Increased loyalty
Studies have shown that 60% of employees are appreciative when a company offers a benefits package. As a result, it increases their loyalty to the company. Nowadays, it’s easy for employees to seek employment opportunities elsewhere with companies that offer more, so you need to aim to keep your staff on board. A benefits program shows your team that you appreciate their efforts which should persuade employees to continue working for you.
2. Increased productivity
Feeling undervalued within a company can cause an employee to complete tasks half-heartedly, after all, working hard will only advance your company rather than for their personal gain. As an employer, you should think about the type of benefits that will make an employee’s life easier and in turn, this will improve your company’s profits.
If employees are worried about childcare, finances and other personal responsibilities, they’ll be less focused on work and more about how they’re going to manage these aspects alongside a job. Suitable benefits may include offering childcare allowance, flexible working hours or even health insurance.
3. Hiring better talent
The hiring process is just as competitive for businesses trying to find the most suitable candidates as for those who are applying. By providing employees with good benefits, you’ll attract the very best talent in your industry. Some candidates view benefits to be just as important as wages as it allows them to lead a much better lifestyle and potentially feel more satisfied in their job role. According to a survey, 55% of employees would accept a job role with a much lower salary if there were great benefits on offer.
4. A better workplace morale
Offering a good benefits package to your workforce leads to a happier workplace environment. As an employer, it’s essential to show that you care for your employees as this will encourage them to work harder to meet their targets and in turn, this will also please you as the business owner. In simple terms, this goes on to create a happiness cycle – your employees are content which encourages them to speak highly of your business; this attracts new customers and the very best talent in your industry when you have job openings and finally, will persuade them to stay with your company because of the benefits on offer. It would be highly worthwhile investing in a benefits programme for the sake of your company’s growth and your employee’s needs.