Employee Benefits: Sharing is Caring
Author: Article provided by Incentive and Motivation magazine www.incentiveandmotivation.com
Last Updated: 10/11/2011 8:12:28 AM
Summary
Adding extra value to its employee offering can single out a business as the employer to work for. If your company has not considered introducing an employee benefit scheme, then perhaps it’s high time it did…
Article
With the economic climate still tough and the outlook still
bleak, it's more important than ever to value staff. In the light
of 0% pay rises for many workers, job cuts and the rising cost of
living, morale is not surprisingly subdued. Not knowing if your job
will still be there next month, or in three months, is a depressing
state of affairs that can spill over into the workplace and affect
performance.
Introducing a range of employee benefits, however, could help
improve the situation as well as attract new staff. Being proactive
and letting employees know the company cares about their
well-being, is a strong motivator; it could also supply a positive
point of difference between an organisation and its
competitors.
According to Nick Courtney from Edenred: "Research shows that an
engaged employee is a productive one, therefore it is important for
businesses to consider how to retain, develop and recruit the right
talent, as well as what their reward strategy is."
It's not the non-existent pay rises that are going to keep
people or attract new blood, so companies need to provide something
else. "Offering a range of benefits to employees makes the employer
attractive to new recruits and enhances the remuneration package of
existing staff, which is particularly important at a time when many
are paying more tax and not receiving a salary increase," says
Kuljit Kaur, head of business development at The Voucher Shop.
Glenn Elliott, managing director of Asperity Employee Benefits,
adds: "For many organisations, benefits and not salary will
be the focus of reward discussions for the next couple of years
while we ride out the current economic storm.
"Employers will increasingly look to motivate and engage their
workforce as never before to harness productivity, ease workplace
issues and survive and thrive in tough economic times."
One size fits all?
People have various likes and dislikes, with numerous factors,
including age, having an impact on taste, so when it comes to
employee benefits this certainly needs to be taken into
account.
"Employers should be aware that different employees will be
motivated by different things. While older staff members might
place childcare vouchers high on their wish lists, younger
employees may well respond better to subsidised gym memberships,
company nights out or retail vouchers," says Iain McMath, managing
director of Sodexo Motivation Solutions.
Demographics and lifestyle should also figure at the planning
stage, and a variety of products offered. These don't need to be
expensive, for example, introducing an element of flexible or home
working for staff with families, or taking part in a salary
sacrifice scheme to buy a bicycle and encourage cycling to work.
The key lies in the ability to target the audience effectively.
"Benefits which are relevant and valued by employees are a key
part of the employee engagement strategy. Choice and flexibility
are what make benefits relevant and valued," comments Elliott.
Richard Davies, head of employee benefits at P&MM, agrees.
He says: "Establishing the desires and needs of the workforce and
then meeting them is the first way to motivate through employee
benefits."
Tell them about it
Once a scheme is implemented, whether it be discount vouchers,
holiday trading, childcare vouchers or salary sacrifice, people
have to know about it. "The key to engaging employees through a
voluntary benefits programme lies in promoting and communicating it
effectively in a way that is enticing and fits the employee
profile," explains Davies.
Courtney continues: "Businesses need to look at the
communication processes behind their employee benefits and examine
how they are delivered and explained to staff. Businesses have to
make their benefits programme compelling enough for staff to want
to be involved and implement new, creative methods to encourage
staff to engage with it and understand it."
In short, if the communication falls down, so will the scheme.
Information should be clear and up to date so staff find it simple
to take part. They should be encouraged to participate by regular
updates on the programme and the benefits it offers, via internal
magazines, leaflets, newsletters, video or the company intranet,
for example. "Roadshows are also a good tool, providing a forum
where individuals can ask questions," says Kaur. "The number of
employees signing up should also be monitored, and open days with
competitions and prizes could be used to encourage more employees
to take up the scheme."
It shouldn't take long for an employee benefits programme to bed
in and become part of the corporate landscape among staff. For the
company, the pay off should be a happier, more motivated workforce
that really feels part of the business. It's the ideal opportunity
to gather support around company goals and vision, promoting a
positive working environment. Indeed employers may ask themselves
why they didn't go down the employee benefits road sooner.