As the Great Resignation continues, many businesses look for effective ways to retain their employees. Although some trendy new offerings are gaining steam, such as pet-friendly workplaces, revisiting health benefits is an increasingly useful way to make an impression on valued workers and inspire them to stay with the company.
Consider Offering No Cost Health Insurance
According to a survey by the Kaiser Family Health Foundation in 2021, the average American worker pays almost $1,300 each year toward individual health insurance premiums and nearly $6,000 per year toward family premiums. Many businesses are finding ways to remove this burden from their employees as part of their retention strategy.
Half of the companies on Inc.’s list of best workplaces in 2022 offer fully employer-paid health insurance. This can be a very effective approach because nine out of 10 employers say that health insurance is the benefit most valued by their workforce.
One defense technology contractor started offering complete coverage for health, vision, and dental insurance for its workforce of 63 people, along with their spouses and children. Although it has been an expensive benefit to offer, their CEO considers it one of their best investments and recruitment tools. Nearly everyone who has applied to the company has mentioned this perk as drawing them to the job opportunity.
Mental Health and Wellness-Related Benefits
The pandemic changed the world in many ways, and one of the few positives to come out of this troubling time is the greater emphasis on mental health. Many people realized the importance of considering their mental health as they dealt with lockdowns, fear, and uncertainty. At the same time, many people experienced issues like anxiety and depression for the first time, spurring greater demand for mental health services.
Considering the higher need for mental health care and the rising interest in wellness, businesses that want to show employers that they care about their well-being can implement programs that look after these important aspects of overall health as part of their employee retention strategy.
A study by Forrester Consulting revealed that 73% of workers and 81% of managers given access to mental health-related benefits through their employer say they are more likely to stay there than they would be if those resources were not offered. Similarly, 76% of managers and 73% of those working in non-managerial roles reported valuing mental health-related benefits over other perks.
To promote mental health at the workplace, organizations might choose approaches ranging from offering meditation or yoga classes on-site to setting up distraction-free workspaces so employees can work without disruption.
Businesses might also consider offering employees subscriptions to meditation apps like Calm or Headspace. These low-cost mental health tools are backed by science and can help employees manage stress better. Some businesses are also opening meetings with meditation sessions. Gym memberships are another popular offering.
Offering professional coaching and mental health therapy is also becoming increasingly popular. Businesses might consider partnering with a coaching service to offer staff free sessions focusing on whatever they need to address, whether personal goals, burnout, or professional development. Access to therapy and medication support from psychiatrists and licensed therapists is also a good option for companies with the budget to support it.
Investments in mental health benefits also benefit companies, as employees who look after their mental health and know how to manage stress and burnout effectively are more productive and likelier to stay with the company.
Health Reimbursement Arrangements (HRAs)
One benefit many companies include as part of their employee retention strategy is health reimbursement arrangements, or HRAs. This entails offering employees a monthly allowance that they can use for eligible medical-related expenses such as doctor’s visits, prescription medication, and health insurance premiums.
This has an advantage over traditional health insurance as it allows employees to customize health benefits to suit their needs. Instead of choosing a plan everyone must adapt to, HRAs allow employees to select a plan from the marketplace that works for them and their concerns.
It also benefits employers as they can choose the medical expenses they are willing to reimburse, the employees eligible to take part, and the amount of money they want to offer each employee via allowances. As a result, this is one health benefit that can suit almost any budget.
Improve Employee Retention with the Benefits Consultants at Business Benefits Group (BBG)
At Business Benefits Group (BBG), our team of professional consultants has a proven process for supporting businesses in improving their benefits offerings and developing effective employee retention strategies. Contact us today to schedule an appointment and learn more about our personalized approach.