Companies spend a lot of money to arrange the best resources and hiring the best talents but often overlook the importance of employee satisfaction. This results in job stress, high employee turnover, lack of productivity, and low profit. Employees are the fuel to any organization, and when their needs are met, they perform better and stay engaged and happier in their jobs.
What Do Employees Want?
It's a very human trait that we want everything to be perfect for us. If not ideal, at least it should be satisfactory.
When these needs are fulfilled, we function better; the sense of satisfaction and entitlement keeps us active, enthusiastic, and productive.
A good paycheque is not the only metric for employees to stay engaged in their jobs today. Employees in the workplace seek an ideal working environment that promotes learning and development, work-life balance, positive company culture, and overall good experience. Organizations that offer meaningful benefits and perks to fulfill these needs experience high employee retention, productivity, overall employee satisfaction, better growth, and success.
A company wins when its employees are happy in their jobs and, therefore, actively contribute to the company's growth. And if employees' needs are not taken care of, they directly impact their productivity and, ultimately, companies' bottom line.
Why Employee Perks?
Employees are the companies' valuable assets. They sail the ship and help it reach its destination. And when these employees leave, it becomes difficult to find replacements and also to train them. Therefore, employee retention is one of the major concerns for companies today.
A study by the U.S. Chamber of Commerce Foundation Foundation found that "more than half of millennials (56%) agreed that a quality benefits package influences their choice of employers, and 63% say that benefits are an important reason for staying with an employer."
The above stat answers how employee perks and benefits can have a significant impact on employee retention.
Here are a few of the other statistics to state the importance of employee perks.
A survey by clutch.co reveals that employee perks increase workers’ efficiency, decrease turnover, and improve company culture overall.
Key findings of the survey
- 53% of employees say that employee perks give them a better quality of life.
- Nearly a third (32%) of employees have flexible hours, and 41% of those with perks say that flexible hours are the most important perk they receive, suggesting that flexible scheduling is a top employee priority.
- Over 66% of employees who receive perks are satisfied with them. (Source-Clutch)
- Nearly four in five (79%) employees prefer new or additional benefits or perks over a pay increase. (Source- Glassdoor)
The above statistics prove that employees value perks, and it is a significant factor for their happiness and job satisfaction.
Traditional benefits include health insurance, retirement savings options, life insurance, and paid vacation time. These benefits are essential for employees, and there is no second thought about it. But employees nowadays want instant gratification. Instant improvements in the working lifestyle so that they can balance work-life and have a smooth career trajectory. And employee perks are tied more closely to these choices.
The 6 most effective employee perks your company can provide
1. Flexible Work Arrangements:
Flexible work arrangements mean letting employees work from anywhere and work whenever they want. This perk is by far the most popular and highly recommended by any business owner or management.
Bill Gates stated that flexible work arrangements are the best employee perks any company can offer. A recent study by Haward Business School reveals how this employee perk is cost-effective and, at the same time, helps employees be more loyal and productive.
A flexible work schedule allows employees to balance their work-life. With accountability to the team in mind, employees get the flexibility to do other important chores, attend a family party, or plan a day out with the kids. This employee perk also helps the employees to flex hours from a stressful work commute. This creates a healthy work-life balance for the employees and helps them be more aware and productive.
2. Flexible Benefits Platforms:
Incentivizing your employees with the right perks increases retention, employee engagement, and can have amazing results for the culture of your organization. One of the best ways to do it is by providing a flexible, rewarding platform for employees to benefit from.
For example, here in Vantage Circle, we provide a discount platform (Vantage Perks) that offers a wide range of deals and discounts for employees to choose from and earn digital money (cashback) on every purchase. It gives employees the power and freedom to purchase from categories they want while ensuring they save money and have a smooth shopping experience.
Leveraging an employee perks platform like Vantage Perks is the easiest way to ensure you're meeting employees' expectations and make them happy and satisfied.
3. Gym Membership or Wellness Program:
In today's hectic workplace, it becomes challenging for employees to maintain a healthy lifestyle. Often employees get so occupied with daily work activities that they deteriorate their physical and mental health. Offering gym membership or any other wellness program allows them to regain their lost energy and even a sense of assurance that they are taken care of by their employers.
4. Learning and Development Opportunities:
Learning and development programs or tuition reimbursement by employers help employees in their career development without any hurdle. Employees also quit when they don't see significant growth in their career development. During their job tenure, they would want their career growth and enhance their skills. And this is only possible if you provide them with the right tools, training, and programs that help them learn and improve their knowledge.
5. Health Insurance:
40% of respondents to Glassdoor's Q3 2015 employment confidence survey said that they value health insurance more than a pay raise.
Health care coverage is usually the most expensive benefit/perk, but it's also the most sought after. According to Jodi Ordioni, Millenials frequently value this benefit above all other benefits.
Paying medical bills are expensive, and that too, without health insurance is worse. When this need is taken care of, it gives the employees a sense of relief. Therefore, offering a suite of benefits related to health (on-site health clinic, 100-percent paid health/dental/vision benefits) is the best you can provide to your employees.
6. Paid Paternity and Maternity Leave:
Give your employees a reason to be grateful by allowing both paternity and maternity leaves. Being a parent is such a happy moment for any parents and can be very stressful for those who have work duties to handle. Maternity leave is the most popular and is often granted, but it is still difficult for a male employee to get one. This is one of the most valuable perks you can offer, but it is still overlooked, especially paternity leave.
Netflix allows employees to take unlimited maternity or paternity leave during the first year after their child's birth or adoption. They understand that it is challenging to balance both work and personal responsibilities and even more when it is concerned with childbirth.
The significance of allowing families the chance to bond and giving the child a stable environment with two involved parents shouldn't be overlooked. Therefore, understanding this aspect and giving both paternity and maternity leave can help employers build more loyalty and respect.
The dynamics of work culture have changed massively, especially over the last decade. As discussed, employees now are more inclined towards organizations that help them create a work-life balance, provide career development opportunities, and overall positive environment.
Therefore, providing the right employee perks which take care of these employee needs gives you an edge over your competitors. As Doug Conant said it rightfully, "To win in the marketplace, you must first win in the workplace."