The role of benefits in retaining top talent
Out of date benefits packages risk wasting money and can drive employees elsewhere. But organisations can take some simple steps to ensure their schemes work for everyone. Jonathan Gilbey, Director at Isio’s Reading office, explains why getting reward and benefits right is good for your employees and good for your business.
Benefits provision is one of the biggest areas of spend for many organisations, but the cost of getting it wrong can be much more than financial. If a reward and benefits package is not relevant then the potential implications for employee morale, financial wellbeing and talent retention are clear.
More often than not, it’s unintentional. Outdated legacy schemes and benefits packages that may have endured with only minor adjustments and accommodations for the preferences of today’s employees. But the results are stark: at a time when the best talent is in demand, if people feel their benefits package isn’t sufficiently meeting their needs then they may move elsewhere. It’s a costly missed opportunity compared with personalised benefits that people really value
Benefits working for all
The first step to an inclusive benefits strategy is to ensure that the offering is genuinely flexible and personalised. Typically, most benefits have historically been designed with older and more affluent workers in mind. “It’s a fair assumption that a certain demographic would potentially be better served by programmes that focus on saving for retirement,” explains Gilbey. “But saving for a house for example may be a higher priority for the younger generation.”
Age is only one of several factors at play, with gender and background just two further examples of diversity in an organisation. “A one size fits all approach is not going to work,” continues Gilbey. “And if the benefit design happens to function most effectively for a certain portion of the workforce then it’s arguably discriminatory.”
But with an ever-growing to-do list, evaluating and auditing your reward and benefits proposition can be a daunting prospect for HR teams. Gilbey believes a structured review is key. “It’s important to start at the beginning with the benefits currently on offer and to see if and how they’re valued by employees,” he says. Isio’s 3D Benefits Review cross references the organisation’s employee needs, people agenda and market trends so that areas of wasted or ineffective spend can be identified and rectified. “We can then establish a bespoke and coherent way forward,” he adds. “By moving on from the way things have always been done.”
Unlocking potential
Strategic benefit design is fundamental; however there is a crucial second part which puts the spotlight on how employees are communicated with and supported in terms of understanding the benefits offered. “We can really move up a gear here,” adds Gilbey. “If employees have the financial confidence to actually access and efficiently engage with the benefits on offer, then they’ll get the most out of them.”
And another essential part of delivering that journey successfully rests with technology: the benefits platform itself. Isio.beam has been specifically designed to put the employee in control with an intuitive user journey that is highly accessible. Employees can review all aspects of their reward and benefit options and make informed choices at a time that suits them, with their company’s identity and culture embedded throughout.
For the employers, it’s all about driving engagement and smooth administration. A highly-customisable interface and modular approach means they can impactfully communicate their total and distinct employee offering whilst working within their budget and focusing on what provides them the most value. They can incorporate additional modules such as wellbeing, reward and recognition, company news and pensions flexibility over time. In terms of the back end, on-demand analytics and reporting help inform decisions around the range of benefits provided which can then be scaled with ease when circumstances change. “Isio.beam can deliver a superb employee and employer experience because it’s able to evolve with a business,” says Gilbey. “It’s not just cutting-edge technology, it’s backed up with comprehensive wider support too.”
Driving value
The advantages of bringing employees closer to their benefits are irrefutable. From inclusion and belonging through to education and financial confidence, the employee is deriving tangible value. And from the employer’s perspective, they’re assured that every pound is being spent driving value by delivering on strategic aims.
But Gilbey says it’s important to look beyond the financials. “The impact of proactively empowering employees will resonate across the whole organisation. It’s much more profound than simply measuring it in pounds and pence.”
If you would like to discuss any of the themes in this article contact Jonathan Gilbey at [email protected] or click to learn more about isio.beam or Isio's 3D Benefits Review.
