3 Mistakes to Avoid When It Comes to Employee Benefits
Employee benefits are extremely important to get right because they are a large contributor to attracting top talent and enhancing business growth. If you go about the employee benefits process incorrectly, it can be costly and detrimental to the health of your business. Let’s take a look at 3 mistakes to avoid when it comes to employee benefits.
1. Choosing a One-Size-Fits-All Package
Selecting a one-size-fits-all benefits package will not work. Every business is comprised of different types of employees from different backgrounds and generations. Therefore, it’s important to meet the needs of your entire organization. One of the number one mistakes that business leaders make is assuming that a one-size-fits-all package will appease the unique preferences of your employees and attract top talent.
There are primary generations in the workforce to keep in mind when it comes to benefits. Click here to learn more about each of their unique preferences.
2. Not Utilizing the Power of Voluntary Benefits
Voluntary benefits are one of the most underutilized benefits available to businesses. Research has shown that voluntary benefits decrease turnover and increase employee satisfaction.
What are voluntary benefits? Voluntary benefits are benefits offered through an employer but paid for partially or solely by workers through payroll default. While employees do usually fund these benefits, they can be a more cost-effective option for employees because they are offered on a group basis.
Employees want choices. By offering voluntary benefits, employers give employees a level of personalization that seems to be the standard for the upcoming workforce. Read more about how voluntary benefits work here.
3. Selecting a Benefits Consultant That’s Not Right for Your Business
Lastly, it’s important to select a benefits consultant that is right for your business and will lead you to future growth. You need someone who you can trust completely. Remember that not every insurance agency is the right fit for your business. You should always think about these three questions when weighing your options – What types of benefits do they offer? Do they have knowledge and experience in your field? Will they help you stay competitive?
To make sure that you are staying competitive when it comes to your benefits, take our Milliman Benefits Survey. If you still have questions, our team of benefits experts would be happy to help!