Nearly 4.4 million Americans quit their jobs in February of 2022, according to the U.S. Department of Labor. These numbers suggest that the period of record employee turnover known as the “Great Resignation” is not slowing down.
The costs to employers are staggering. It costs six to nine months of an employee’s salary to hire and acclimate their replacement, according to data from SHRM. It also takes a new employee 1 to 2 years to reach the level of productivity of an existing employee.
To help avoid the high costs of turnover, employers should be prepared to reevaluate their benefits packages. Here are 5 benefits to include in your employee retention strategy.
1. Boost employee retention with personalized financial wellness benefits.
Around 87% percent of employees want help when it comes to managing their finances, according to PwC’s 2021 financial wellness survey. And employees that have financial wellness report higher levels of job satisfaction, loyalty and productivity – factors that make employees less likely to leave their current job. According to data from prudential, 60% of workers feel more committed to their employer when the employer shows an investment in their overall financial wellbeing.
However, when it comes to financial assistance, too many organizations focus solely on helping employees plan for retirement. A fully comprehensive financial wellness plan can help addresses a wide range of employee concerns. Look for a solution that is as dynamic as your workforce and support your team with comprehensive financial wellness benefits that cover everything from financial planning and coaching to building an emergency fund or paying down debt.
2. Ease employee stress with comprehensive healthcare offerings.
One of the most important aspects of an effective employee retention strategy is to listen to employees and respond to their needs. According to SHRM, 56% of US employees with employer-sponsored healthcare benefits surveyed said whether or not they like their healthcare plan is a key component in their decision to stay with their current job. Offering a healthcare plan is also a way for employees to keep up with competitors as 58% of companies offer health benefits making it the most common workplace perk.
3. Support employee wellness by destigmatizing mental health benefits.
In a response to the needs of their employees, around 40% of employers expanded their mental health benefits during the pandemic. Mental health benefits can come in many forms. Some of the best solutions have been including mental health coverage in the company’s health plan, promoting mental health programs to try and reduce the stigma around the issue and establishing an employee assistance program.
According to a survey by Teamstage, 91% of Gen Z and 78% of Millenials think that companies should implement a mental health policy. A survey by Calm found that 76% of potential employees consider mental health benefits as critical when evaluating potential job prospects.
4. Offer family-friendly benefits to care for employees and their loved ones.
The term “family-friendly” encompasses a wide range of benefits from fertility planning to extended maternity leave to childcare benefits. Family-friendly benefits may suggest to employees that the workplace has a legitimate interest in their wellbeing and is another way for companies to keep employees happy. According to a study by Utah State University, 94% of companies that implemented family-friendly policies reported a higher level of employee satisfaction.
5. Invest in paid time off today to improve employee retention in the future.
Research from SHRM suggests that encouraging employees to enjoy vacation time can actually increase productivity in the long run. However, simply providing paid time off may not be not enough for employees to enjoy the benefits. In a 2021 survey, Priceline found that only 21% of Americans used all of their PTO in 2020 and 19% felt their positions were too demanding to allow them time away. PTO is not only an important part of employee compensation but a vital tool for fighting burnout that can contribute to turnover. So, it’s important employees feel supported when taking a break.
Take your benefits strategy to the next level with financial wellness solutions from Best Money Moves.
If you’re looking for a first-in-class financial wellness solution, Best Money Moves could be the answer you need. Best Money Moves is a financial wellness program that provides all the guidance and support employees need to help them reduce their financial stress. It has tools and features that help employees measure their financial stress, budget for monthly expenses, pay down debt and plan for emergencies.
To learn more about Best Money Moves Financial Wellness Platform, let’s schedule a call. Contact us and we’ll reach out to you soon.