Offering a competitive base salary alone is no longer enough to attract and retain top talent. To meet skilled employees’ expectations and set your company apart from competitors, you need to find ways to optimize your total compensation.
As employees increasingly focus on their wellbeing and family needs, benefits have become a key factor in deciding where to work. According to Benefits Canada, 93% of employees believe wellbeing is just as important as their salary. For employers, this means your total compensation package should include an attractive benefit plan and perks, like flexible work arrangements and retirement savings contributions.
Recognizing the value of a benefit plan is essential to enhance both the employee experience and your organization’s reputation.
An employee benefit plan is more than just a nice gesture
Employee benefit plans are a substantial, yet surprisingly overlooked part of compensation. According to Employer Benefits News, 81% of employees consider benefits to be a critical factor when deciding to accept a job offer. A study by Forbes Advisor reinforces this, revealing that 40% of employers say employees leave their job to find a role that offers better employee benefits.
With this in mind, how can your organization exceed employee expectations and retain the talent you worked so hard to hire? By investing in a well-rounded plan that includes:
- Extended health coverage
- Prescription drug coverage
- Dental coverage
- Life insurance
- Disability insurance
- Critical illness insurance
- Optional life insurance
- Virtual Care
- Employee and Family Assistance Program (EFAP)
- Travel insurance
- A Health Spending Account
- A Wellness Spending Account
The power of workplace wellbeing
As your organization competes for talent and focuses on driving internal motivation, it’s important to recognize the role that employee wellbeing plays in achieving these goals.
Employees may be distracted by personal challenges, like health concerns, financial stress or caring for elderly family members. Offering benefits that support physical, mental and financial health can ease these challenges and empower employees to maintain their wellbeing. When employees are supported, they are more likely to feel connected to your organization and go the extra mile.
Word travels fast when an employer values their team. This positive buzz helps your company build a reputation as a top employer and become the place everyone wants to work.
How benefit plans offer businesses a return on investment
When you enhance your organization’s benefit plan, you’ll often see a significant return on investment. For example:
- Improved retention: Health coverage can reduce turnover and lower costs associated with recruitment, onboarding and training.
- Increased productivity: Companies that prioritize employee wellbeing often experience a boost in productivity.
- Attracting skilled talent: By showing support for employees, your organization can stand out in the job market, making it easier to attract top talent.
- Employee satisfaction: Investing in employee wellbeing fosters greater job satisfaction, reduces absenteeism and builds loyalty.
- Lower costs: Providing employees with health coverage reduces sick days and lowers the likelihood of disability claims.
How to find out if your compensation package is competitive
As an employer, you may already understand that benefits are invaluable to your organization. Still, you may be left wondering, is my organization’s total compensation package hitting the mark?
There are a few ways to find out. A good place to start is by following these steps:
- Research industry standards
- Understand what employees want
- Evaluate your current package
- Create an action plan
To learn what your employees value in a total compensation package, it’s best to go right to the source and gather their feedback. Here are some ways you can achieve this:
- Employee surveys: Surveys allow you to collect direct insight into what your employees value most and reveal any gaps in your current offerings.
- Focus groups: By bringing together small groups of diverse employees for in-depth discussions, you can gain valuable insights into their opinions about specific aspects of your compensation. This setting also allows you to ask follow-up questions and explore their suggestions for improvement.
- Exit interviews: When employees leave, they may feel more comfortable sharing honest insights, including how to improve the employee experience and compensation.
After gathering data on industry standards and employee feedback, you’re ready to optimize your total compensation package.
How to communicate the value of your total compensation package
The best part of optimizing your compensation packages is telling your employees about it. Be sure to communicate the full value to ensure your employees understand what’s included.
This isn’t a one-time task—ongoing communication is key. Regularly encourage employees to use their benefits and make sure they have access to resources and contacts for guidance.
Here are some ways you can keep employees informed:
- Send company-wide emails that highlight any important changes.
- Equip managers with talking points to share during team meetings for more personalized communication.
- Use the corporate intranet to share the most current information.
- Offer lunch-and-learn sessions to give employees a convenient space to ask questions and learn more.
- Create visual guides like infographics or short videos to make the details easier to understand. Ask your benefits plan provider what materials they have available that you can share with employees.
An investment in employee loyalty
A well-rounded benefit plan is a critical component of your total compensation package that will help your organization attract, retain and engage top talent. By investing in employee wellbeing, you can foster a motivated, loyal workforce and increase productivity.
Let’s create a group benefit plan for your business
As a small business owner, navigating the complexities of optimizing your group benefit plan can be overwhelming.
That’s where we come in.
At Alberta Blue Cross®, we’re here to guide you every step of the way.
Together, we’ll create a group benefit plan that aligns with your unique goals and budget.
Take the next step—visit our Group Benefits page or contact an Alberta Blue Cross® representative to start building your plan today.
