Are Better HR Benefits the Secret to Employee Satisfaction and Retention?
Is your practice struggling to retain good employees? If so, you’re not alone. A record 50 million people quit their jobs in 2022. And according to the most recent Job Openings and Labor Turnover Survey from the Bureau of Labor Statistics, that trend is continuing. Approximately 4 million people are voluntarily leaving their workplaces each month.
Yet most employees say they’d be willing to stay at a job for one reason — and it’s not a pay raise.
If you’re looking for a way to attract and retain top talent in today’s tough market, HR benefits may just be the prescription you need. One recent survey found that 66% of employees are simply waiting to review their employers’ new benefits before deciding whether to stay or go. For many people, benefits are at least as important as compensation.
To make your practice stand out, it’s important to focus on three key areas.
1. Retirement benefits are almost as important as salaries
The #1 reason people stay at their current jobs? Retirement benefits. Six in ten employees say they’re more likely to stay at their current job if it offers an employer-sponsored retirement plan. That’s nearly the same percentage who said competitive compensation was a top factor. Even more surprising is the 59% who say they’d pay more for a bigger retirement benefit.
If you want to really stand out, however, the real key is to go beyond a basic program.
At a time when 70% of Americans are feeling financially stressed, many are looking to employers for help with financial education. College saving strategies, tax efficient investing, social security planning, and budgeting are all important to today’s workforce.
Yet less than a quarter of businesses are offering these kinds of financial wellness incentives. Finding a partner to provide training or offer 1:1 guidance can go a long way in boosting employee morale and engagement.
2. Many would trade pay raises for better health insurance
It’s not just financial wellness that matters to employees. Health insurance is also a high priority. According to the latest intel from WTW, nearly half of surveyed employees would forego pay raises for a more generous healthcare plan.
Health, dental, and vision insurance remain the most important benefits, with 88% of employees giving them consideration when weighing job offers. The desire for decent insurance is so strong that one in six employees say they’ve stayed in unwanted jobs specifically for health benefits.
So, how do you know if your current health insurance plan is competitive? The answer can vary significantly from market to market. Unless you have a benefits expert on staff, hiring an HR consultant may be the best way to find out. Consider working with a company like omo to review your current benefits package and provide guidance on how to improve it.
3. Wellness benefits boost morale and increase productivity
How does your practice handle issues like paid leave, mental health, and career development? When it comes to employee engagement and satisfaction, these kinds of wellness benefits are key. For many small businesses, they’re increasingly making the difference in recruiting and retaining top talent.
One Deloitte survey found that nearly 80% of employees factor in a company’s paid leave policy when deciding where to work. And it’s not just your staff that benefits from time off. Various studies have shown a direct correlation between time off — especially vacations — and productivity.
Of course, paid time off policies are just the start, particularly if you want to create a competitive wellness package. More than 40% of surveyed employees also say they’re more likely to stay with a company that provides access to mental health benefits designed to help manage stress and prevent burnout. And an astounding 94% say they would stay at a company longer if it simply invested in helping them learn.
By taking steps to help your staff thrive today, you can set the stage for years of productivity and engagement. And you don’t have to create an extravagant program to start seeing benefits. Something as simple as a well-being program that includes local discounts can be a great place to start. As you expand your offerings, each one can help reduce healthcare costs and absenteeism, too.
Bottom line: The right benefits package is critical for any practice that wants to attract top talent, retain existing employees, and become a workplace of choice.
Thankfully, creating a competitive HR benefits package doesn’t have to be hard. You just need the right expertise. That’s why omo has partnered with OneDigital — to provide one-on-one consulting and help private physicians design the right package for any practice. Sounds like something you could use? Learn how to get started here.