Why a Small Business Needs Employee Benefits
Providing employees with benefits they feel are must-haves is crucial for the long-term growth of a company. When employees feel their needs are taken care of, they’ll have a higher commitment to a company’s goals, as well as increased loyalty. Benefits that appear to be the most important to employees are medical insurance, retirement plans and disability insurance. Let’s have a closer look at how these benefits make a difference.
Another valuable benefit to the employee is that taxes on the growth of the investments in a plan don’t kick in until withdrawals start, which makes this more valuable than an increase in pay. Employees may find higher job and personal satisfaction knowing they have a plan in place for their future.
Disability insurance is essential and highly valued by three out of four job seekers, and it counts heavily when making a decision to join a company. Female job seekers are more likely to join a company if it offers short term disability insurance, as it will cover up to eight weeks of maternity leave, while long term disability is attractive to both male and female employees. This particular benefit also makes a company stand out from competitors, since many companies don’t offer it at all.
Offering a well-rounded benefits package is critical to helping attract and retain potential employees and keep a company at pace with or ahead of their competitors. With a diverse workforce, including baby boomers and millennials, it’s also imperative to consider choice, flexibility and customization to attract a wide range of job seekers.