According to Gallup data, nearly half of U.S. employees are open to leaving their current roles. Though many business and HR leaders focus their attention on issues like employee compensation, these leaders should also understand that employee experience is a major driver of this phenomenon.
Fortunately, you can prevent disengagement from negatively impacting your organization. Here’s how to use benefits packages to enhance both the employee experience and overall team success.
What Defines Employee Experience? Why It Matters
The term “employee experience” has a very simple definition: It’s the sum of all the touchpoints and interactions an employee has with your organization, from the time they see a job ad and apply for a role until the time they officially leave the company.
The employee experience is directly reflected in how employees feel when they show up to work, and it’s much more important than you may think. This is because employee experience can affect so many factors that affect your organization’s success, including these:
- Job satisfaction
- Productivity
- Engagement
- Morale
- Retention
Studies show that when you work to create a positive experience that enhances employee engagement, you can drive as much as a 23% increase in profitability.
How Employee Benefits Can Enhance (or Detract From) the Employee Experience
According to a survey from the Pew Research Center, nearly a quarter of employees who left a job in 2021 cited a poor employee benefits package as a major reason for doing so. Here’s how the benefits you offer can make or break the employee experience.
Reflecting Values and Culture
Many business leaders believe that employee compensation should receive top consideration. However, a well-put-together benefits package that considers the needs and desires of your workforce may be even more important.
A strong benefits package shows that you listen to your employees and value what they have to say. This not only makes employees feel supported and more likely to stay at your company but can also play a key role in attracting the right candidates.
Fostering Well-Being and Work-Life Balance
Offering benefits and perks like remote work, gym memberships, childcare, paid family leave, and comprehensive health insurance allows employees to better take care of themselves and their loved ones without jeopardizing their job security. In turn, this can increase morale and job satisfaction and contribute to a healthier workforce.
Improving Productivity and Performance
Good benefits packages make employees feel valued at work and bring peace of mind to their personal and professional lives. This can empower employees to be more efficient and effective in their roles, which can further enhance performance across the organization.
Enhancing Professional Growth Opportunities
When you provide employees with benefits like skill development training or tuition reimbursement, you contribute to their professional growth. This can lead to better opportunities, higher pay, and a deeper sense of satisfaction at work.
Pew Research Center’s survey indicates that 63% of those who left a job in 2021 cited “no opportunities for advancement” as a driver of their decision. It’s clear that providing growth opportunities can reduce turnover rates and contribute to greater workforce stability.
How to Use Benefits to Ensure a More Positive Employee Experience
If you’re looking to enhance your employee experience by crafting the best possible benefits package, here are a few tips that can support your success:
- Survey your employees to find out how they feel about their current employee benefits and what benefits they would like to see added
- Provide opportunities for personalization and employee choice where possible
- Align benefits with company culture to ensure that what you offer truly reflects your values and priorities
- Meet diverse needs by offering unique employee perks alongside traditional benefits
- Communicate effectively to ensure that employees know how to access and use their benefits
- Gather feedback to understand how employees engage with their benefits and identify areas for improvement
By taking the time to ensure your employees are getting the benefits they need, you could improve performance and outcomes across the entire organization.
Create an Employee Benefits Package That Boosts Your Employee Experience
Voluntary turnover costs businesses a collective $1 trillion per year. Fortunately, offering better employee compensation and benefits can help your organization save money and increase satisfaction, engagement, and retention among your workforce.
If your leadership team is ready to create a benefits package that truly serves employees, our team at Benefits Advisory Group can help. Contact us today to learn how to create an employee experience that drives success.