For many business owners in the tech space, recruiting and keeping top tech talent often feels like a competition between David and Goliath. Big tech firms can dangle six-figure salaries, stock options and high-profile perks like on-site chefs or nap pods. However, for small and mid-sized businesses, especially in the startup and scale-up stages, it can feel nearly impossible to compete.
But here’s the surprising reality: salary isn’t the only thing that matters. More and more tech professionals are looking beyond the paycheque when they evaluate where they want to work and stay long term. They’re prioritizing flexibility, security and employee wellbeing—and that’s where small businesses have an opportunity to shine. A 2025 study published in BMC Public Health found that young Canadian tech workers (ages 18–29) now prioritize health benefits, paid vacation and supportive workplace policies above higher pay when choosing where to work.
One of the most overlooked but most powerful ways to level the playing field is offering strong health benefits. When designed well and offered with intention, benefits go far beyond being a budget line item. They can become a cornerstone of your company brand, a magnet for skilled employees and a driver of lasting growth.
Health benefits strengthen tech employer brands
Take a moment to think about what makes potential employees say yes to one company and no to another. Of course, salary is part of it. But it’s also about what they believe the company stands for and whether they see themselves being set up for success.
Your benefits package plays a bigger role in that decision-making process than you might realize. Think of health benefits as a key part of your business’ brand.
1. Showing commitment to employee wellbeing
When you invest in health benefits, you’re sending a clear message: We care about the people who work here. For many tech professionals, especially those who’ve experienced high-pressure roles or burnout in large companies, that message is worth more than pizza lunches or ping pong tables.
Offering access to mental health support, coverage for therapy or digital wellness tools tells employees that their mental and physical wellbeing isn’t just an afterthought—it’s a priority. It also shows that your company understands the realities of tech work … long hours, high stress and the need for balance.
2. Standing out in a crowded market
Admittedly, it’s not easy to stand out as an employer in the tech world. The very nature of being in tech is that everyone is constantly innovating. Everyone’s “disrupting.” And everyone claims to be fast-moving and agile. So how do you show that you’re different?
Benefits can become one of your differentiators. When job seekers look at your career page and see support for telemedicine, lifestyle spending accounts or structured wellness resources, they see a company that’s forward-thinking, people-focused and anchored in the real needs of modern workers. You’re sending the message that you don’t just build or use technology—you’re building a workplace where tech professionals can be successful.
3. Building trust and loyalty
Trust doesn’t happen overnight. It grows from consistently showing that you care about employees beyond their output. Benefits are part of that.
When employees know they’re covered if they get sick, if they need mental health support or if they face unexpected challenges, they feel more secure. That security translates into loyalty. They’re far less likely to be lured away by a rival firm offering a slightly higher salary, because they know that stability and support are baked into your company culture.
The ROI of a strong health benefits plan
Too often, health benefits are seen as a cost to be minimized. But they’re actually one of the smartest investments you can make as a business owner. Done right, they pay for themselves many times over by improving recruitment, retention and productivity.
Recruitment: Becoming an employer of choice
The reality of today’s market is that top tech professionals have options. Many are approached weekly, if not daily, by recruiters. Salary may capture their attention, but benefits help determine whether they take the next step.
When candidates choose between two companies with similar salaries, benefits can tip the scale in your favour. For example, coverage that starts on day one shows you’re ready to support them immediately. Offering flexible health or wellness accounts signals respect for personal choice and autonomy. These aren’t small details—they leave lasting first impressions.
Think of recruitment in tech as a marketing exercise. Just like you position your product to stand out in a crowded market, your benefits package is part of how you position your workplace and your company culture. The right package gives you more credibility and makes you a magnet for the kind of tech talent you want to attract.
Retention: Keeping your best people
Recruiting top tech talent is only half the battle. Keeping them engaged and loyal is the real test.
Employees who feel supported by their benefits are more likely to stay. They know that switching companies doesn’t just mean a new office or a new paycheque. It might also mean losing access to therapy sessions, more flexible drug coverage or a supportive wellness program. That creates a real hesitation before they accept another offer.
Better yet, when employees feel cared for, they invest more in the company. They are more likely to recommend your workplace to their peers, act as advocates and contribute to a culture of trust. Retention isn’t just about avoiding turnover costs, it strengthens your brand by creating a team of engaged ambassadors.
Productivity: Fueling focus and performance
Health and productivity are directly linked to one another. Employees who are well, both mentally and physically, have more energy, more focus and more creativity.
Consider the ripple effects of benefits that cover preventive care like physiotherapy, massage or vision care. Those investments help employees avoid small health issues snowballing into major ones. The same goes for mental health coverage. Catching and addressing stress early can prevent burnout, absenteeism and turnover.
The result? Employees show up ready to perform. They’re less distracted by personal challenges and more energized to contribute to high-stakes, high-output projects.
In other words, healthy employees mean healthier business results.
Why this matters now
So why is this so important right now? There are three big reasons:
1. Employee expectations have shifted. After years of workplace changes—remote work, layoffs and rising mental health awareness—tech professionals are looking for employers who see them as people, not just resources.
2. Big tech has vulnerabilities. While large companies can pay more, they can’t always offer the same flexibility, culture or intimacy of a smaller company. Benefits help signal that you offer both care and stability.
3. The competition for talent isn’t slowing down. Even with economic shifts, highly skilled software engineers, data specialists and product leaders are in demand. Standing out as an employer means having more than just a job offer, it’s a promise of wellbeing.
Health benefits aren’t just about providing coverage
For small business tech companies, they’re a recruitment and retention strategy that can:
- Demonstrate care for employees and strengthen your brand
- Help you differentiate in a crowded market
- Build trust and loyalty across your team
- Improve recruitment, retention and productivity
When you frame benefits not as a cost, but as a competitive advantage, you unlock the potential to attract and keep the tech talent that will help drive your business forward.
Ready to find the right benefits plan for your tech company? Check out our Group Plans and
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