Benefits and employee experience - 7 aspects worth considering

Employee benefits – what are they and what are they not?

Employee benefits are simply an additional form of compensation offered on top of a base salary. The most well-known examples include gym memberships (like Multisport), language courses, additional training budgets, or access to psycho-educational mobile apps (such as Focusly as part of MultiLife). However, there is an increasing variety of non-monetary rewards being offered to employees, as this is an area that effectively analyzes and responds to people's current needs.

Beyond employer-paid benefits, there are also those that require no financial investment, such as the option to work remotely or flexible working hours. It is important to remember that non-wage benefits cannot be a form of compensation for inadequate pay. Furthermore, tools necessary for performing one's job, which depending on the position may include a company phone or a laptop with the Office suite, do not count as benefits.

Is it worth investing in non-wage benefits?

Definitely!

Non-wage benefits:

• are an effective form of employee motivation - implementing them not only helps attract potential candidates to apply to our company, but also motivates current employees and helps retain them for longer,
• are a way to show your employees appreciation, as well as to encourage them to take care of their mental and physical health and well-being,
• allow you to reward all employees, regardless of their position or seniority,
• thanks to their affordability, wide variety, and easy access to these types of benefits, they are a great option for any industry.

Companies that offer a wide range of benefits are generally perceived as being more committed to employee well-being. This is because both potential candidates and current employees value feeling secure, appreciated, and cared for, which is exactly what non-wage benefits provide.

A 2022 study conducted by PeopleKeep – a platform that helps US employers implement benefit packages – showed that as many as 83% of respondents consider their availability to be one of the most important factors they take into account when looking for a job.

Benefit packages and employee experience – is it worth offering benefits to employees?

Employee experience is essentially the employee's journey and interactions with the company, collected throughout the entire period of employment – from the recruitment stage to the moment of departure. These experiences can be both positive and negative, and are influenced by many factors.

How can benefits impact the employee experience?

• Motivation and retention

An employee who feels that their work is appreciated by their employer is satisfied, motivated, and above all – loyal. Nowadays, employee turnover is a significant problem, and a rich benefits package can help us counteract it. By investing in the well-being and satisfaction of our employees, we can make them feel valued and cared for, thereby reducing the likelihood of them looking for a better-paying position elsewhere.

A study conducted by the insurance company Aflac showed that nearly half of the 6,000 respondents plan to look for a new job if their current workplace does not offer non-wage benefits or has a limited selection. Meanwhile, another study by Willis Towers Watson suggests that as many as 78% of respondents are more likely to stay in their current position if their benefits package is satisfactory.

• Productivity

It is not just motivation, but also employee well-being that translates into higher productivity, and as we know – greater employee engagement means profit for the employer. Many studies have proven that the quality of our work largely depends on how well-rested we are and our mental state. One of the tasks of a well-designed benefits system is supporting employees in reducing stress and encouraging them to spend their free time in a truly restorative and enjoyable way (e.g., through an online yoga course).  

By offering employees various non-wage benefits, we contribute to increasing their productivity and commitment to their duties. We also reduce the number of employees performing their tasks at an unsatisfactory level. 

Attracting more potential employees

The availability of employee benefits is a key factor considered by prospective employees during the recruitment process. By offering various types of additional benefits – whether it is private medical care (e.g., in the form of teleconsultations with a doctor), or even flexible working hours and professional development training (and highlighting them in job postings), we have the opportunity to stand out from the competition. Thanks to these, we will also attract more candidates interested in the offer, and consequently, valuable future employees.

Support tailored to employee needs

Beyond general well-being, employees also want to feel secure and safe. Private medical care or access to psychological consultations, which (especially in today's challenging economic times) exceed many people's budgets, are just examples of benefits that can help employees feel more at ease.

Employees realize that the modern job market is so dynamic that the only people who can be sure of their position are those who are constantly developing and investing in their skills, both linguistic and specialized. Employer support in maintaining a proper work-life balance and managing stress is also becoming increasingly desirable.

A study conducted on behalf of the insurance company Rogers Gray proves that nearly half of the 1,500 respondents consider a company they are considering joining to be much more attractive if the benefit packages are tailored to their individual needs.

Company image

Companies that offer non-wage benefits are perceived as being more committed to employee well-being. Introducing such benefits therefore has a positive impact on a company's image, not only from the perspective of potential candidates but also consumers.

It also reflects an attitude that shows employers care about more than just profits and have a much broader perspective. They realize they can have a positive impact on both their surroundings and their entire workforce. Benefits allow them to act even more effectively in this regard.

A happy employee is a happy customer

We must not forget that by taking care of our employees, we are also taking care of our customers. A satisfied, motivated, and positive employee is an excellent ambassador for the company, which is why a good employee experience is so essential for the functioning of any organization, regardless of the industry in which it operates.

Help during times of rising living costs

Due to the difficult economic situation, many employees are cutting back on necessary services because of tight budgets. Supporting your staff during these challenging economic times will help build mutual trust and respect, as well as improve the mental well-being of your team, which is essential for building and maintaining engagement.

How can you introduce a benefits system in your company to improve employee experience?

First and foremost, it is worth starting with an analysis of your employees' needs - you can use a simple tool for this, such as a survey. Such a questionnaire should include proposals for benefits in areas such as health, nutrition, psychological support, and development (in each of the MultiLife there is a wide range of services that address the needs of every one of us in all these key areas of life. The results of such a survey will serve as a benchmark for us when creating a benefits plan. It is most important that these are tailored not only to the company's budget but, above all, to the individual needs of the people employed there.

Let's remember that it is about employee satisfaction, which is invaluable to any organization – a satisfied employee is not only more efficient but also contributes to strengthening the company's image among consumers.

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Bibliography:

1. Ben Whitter, Employee Experience: Develop a Happy, Productive and Supported Workforce for Exceptional Individual and Business Performance, 2019.
2. Jack Altman, People Strategy: How to Invest in People and Make Culture Your Competitive Advantage, 2021.