As competition for top talent intensifies and the economic landscape evolves, organizations are placing greater emphasis on their benefits packages to attract and retain employees. According to Lively’s 2024 Employee Benefits Market Check report, which surveyed 250 HR and benefits decision-makers in the US, a significant 81% of organizations are enhancing their benefits offerings this year. Despite the US-centric data, the insights remain highly relevant to Canadian business leaders, managing health and group benefits..
Attracting and Retaining Employees
The primary driver for enhancing benefits is the need to attract and retain employees, with 73% of organizations citing this reason. In an environment where employees are increasingly demanding better perks and benefits, companies must stay ahead by offering competitive packages. Over the past year, 81% of organizations have improved their benefits specifically to retain talent.
Emerging and Popular Benefits
The landscape of employee benefits is shifting, with certain perks gaining prominence:
- Wellness Benefits: As mental and physical well-being becomes a focal point, wellness benefits are at the top of the list for many organizations. These benefits not only improve employee health but also enhance productivity and job satisfaction.
- Bonuses: Monetary incentives continue to be a strong motivator. Regular bonuses or performance-based bonuses are being added by many companies to boost morale and reward excellence.
- Emergency Savings Accounts: Financial security is a growing concern. Emergency Savings Accounts provide employees with a safety net for unexpected expenses, reducing financial stress and increasing workplace stability.
Other notable benefits being considered by approximately one in four organizations include:
- Pet Insurance: Recognizing the importance of pets in employees’ lives, pet insurance is becoming a popular addition.
- Professional Development: Investing in employees’ growth through training and development programs.
- Paid Time Off (PTO): Enhancing PTO policies to promote better work-life balance.
- Lifestyle Spending Accounts (LSAs): Allowing employees to allocate funds to various wellness-related expenses as per their preference.
Benefits for Larger Organizations
Larger organizations, particularly those with over 250 employees or with over a decade in business, are more likely to offer a diverse range of benefits. These include:
- Medical Travel Reimbursements (MTAs): Covering expenses for medical treatments not available locally.
- Progressive Benefits: Such as flexible work arrangements, which are increasingly popular across all company sizes.
- Addressing Financial Stress: In the face of inflation and rising costs, benefits that ease financial burdens are more crucial than ever. Employers can significantly reduce employees’ financial stress by offering benefits that help manage daily expenses.
Recommendations for HR Leaders
To ensure that your benefits package meets the needs of your workforce and stands out in the competitive market, consider the following steps:
- Conduct a Benefits Audit: Assess which benefits are most and least utilized by employees to identify gaps and opportunities for improvement.
- Benchmark Against the Market: Compare your offerings with industry standards to identify essential benefits you may be missing, such as Emergency Savings Accounts or LSAs.
- Enhance Wellness Offerings: Implement or expand Lifestyle Spending Accounts to give employees flexibility in how they spend their wellness funds, leading to higher satisfaction and utilization.
Elevating Your Benefits Strategy
Incorporating these must-have benefits can help businesses not only meet the expectations of their employees but also foster a more committed, satisfied, and productive workforce. By staying informed about the latest trends and strategically enhancing benefits packages, companies can secure a competitive edge in talent acquisition and retention.
Crafting Superior Benefits with Finuity Wealth
Finuity Wealth’s approach to employee benefits goes beyond traditional offerings. We believe in creating a package that meets and exceeds expectations, fostering a culture of care and support.
Offering a robust benefits package is essential in today’s competitive job market. Finuity Wealth is dedicated to crafting superior benefits packages that resonate with the modern workforce. Investing in your employees is investing in the future of your business. Reach out to Finuity Wealth to explore custom solutions for your business.
