When defining employee benefits, employers need to distinguish them from other types of compensation that they receive in the form of salaries or wages. Charles Spinelli considers that it’s better to define employee benefits as the non-financial ‘payments’ or ‘perks’ that they are provided with as a means of recognizing their great performance, contributions to the company’s growth, or value of their best endeavor.

In the tight labor market and with increasing competition, from big corporates to medium or even small companies have started offering employee benefits since that can have a remarkable impact on employee satisfaction. A survey reveals that 49% of employees search for a new job within a year and quit an employer due to dissatisfaction with benefits. Unarguably, employee turnout makes employers pay high costs and can hurt its bottom line. In this article, Spinelli aims to highlight how offering employee benefits can make an employer gainful.

Attract Talent

The intense job market highlights the vitality of offering employee benefits in the recruitment process itself. Prudent employers understand employee benefits now play an integral role in driving top talents who have the potential to contribute. It is high time for employers and managers to comprehend that it could be next to impossible to meet the business objective without having the right talents on board. Noteworthy, in a market survey 78% of employees report that they are more likely to stick to employers who offer benefits, consider their future potential, and value their contributions.

Reduce Employee Turnover

As stated, turnover of employees is too expensive and this is the reason why employers consistently strive to keep high-quality employees satisfied by offering a wide variety of special benefits. It is worth noting that barely 50% of workers in the US reveal their satisfaction with the benefits offered by their employers. This clearly indicates that close to half of the workforce are not satisfied with their employee benefits. This is a red flag for those employers who need to bring change in their current employee benefits policy to uplift worker satisfaction and minimize turnover.

Promote a Healthy Workforce

Healthier employees are likely to be happier workers. Not only do they have the potential to undertake challenging project work but also can manage stress, leading to lower absenteeism and tend to become more productive, as per Charles Spinelli. Introducing generous employee benefits like health insurance, wellness programs, etc. ensures easy access for employees to care for their health issues, promoting their physical and mental well-being.

Increased Productivity

It is pretty simple to understand that the happiness and well-being of employees can be instrumental in staying more productive. Employees who enjoy their work and are valued and are offered benefits like flexible working hours, hybrid work, or remote work facility are likely to work harder and more devotedly in return for the benefits, compensation, and care of their employer to help them in getting a work-life balance.

Enhanced Morale and Integrity

Charles Spinelli says that when employees believe that their employer takes care of them and tries their best to address their concerns and needs, they are less likely to switch to another employer – even if that employer wishes to pay a higher offer. According to the viewpoint of Charles Spinelli, while benefits and pay packages are important to employees, they also value job security, care of the employer, and their growth prospects in the long-term making them stick around longer.