Food For Thought Friday: Employee Retention and Attracting New Talent

Our hopes with this Friday post is to tantalize a different aspect of our business brains! We’re pulling together a few interesting pointers on employee retention and attracting new talent.

Small businesses continue struggling to retain and attract team members. Did COVID really unleash a population of, “I don’t really want to work!”? Quite possibly, but here are some thoughts on how to incentivize your assets, your work force.

One size NEVER fits all, tailor benefits offerings in a way that attracts and retains the best employees. Start this process is by surveying existing and potential employees. Ask your team what types of benefits would interest them the most. Use this data to make better benefits decisions. Business owners put substantial energy and time into these plans, why not create Boutique Style and customize a plan that excites your employees!

While each workforce will have unique needs and interests, there are some commonalities seen among small business employees. Here are six of the most popular benefits that small businesses are using to attract and retain employees.

First Up is the dreaded but, “Oh So Necessary” Health Care Coverage. Good health coverage is important but also expensive! This will likely be an important benefit to your employees with families or those further along in their years of experience. Some employees need a plan to cover same sex spouses. Consider doubling down on health coverage rather than picking up expenses for ancillary benefits that may not be of interest to the majority of your team. Going to work every day knowing that your employer cares about your health and the health of those important to you could be a game changer in the candidate pool.

Leave benefits vary by workplace, but typically include paid time off (PTO), vacation days and sick time. These types of leave usually come with specific use requirements. For employers looking to attract and retain employees, expanding these benefits could be a great leverage tool. This may include allowing faster PTO accrual, providing more sick days or allowing for flexible scheduling. Implement a remote work policy for those employees that can handle it. Let them know that they have earned your trust and are valued enough to allow them to work efficiently and effectively at home.

The third incentive on our list is the always exciting, Performance Bonus. Employees want to be recognized for their hard work. Failing to do so can lower morale and affect retention. Introducing performance bonuses as an employee benefit can be a way to combat this. Performance bonuses will vary, but the general idea is to compensate employees in some way for a job well done. How this looks in practice will depend on the employer. For instance, employees might receive incentives such as gift cards, cash, additional PTO or other perks, depending on their achievement. However, before implementing such bonuses, employers should ensure compliance with any applicable workplace laws regarding employee compensation.

Financial security is very important to employees, and that sentiment grows as employees near retirement age. It’s also top of mind for those struggling financially thanks to the COVID-19 pandemic. Employees invest their time and energy into their work. As a tradeoff, many employees want their employers to invest in their retirements in return for years of service. Offering a 401(k) with contribution matching can be a powerful attraction and retention tool, as it demonstrates an employer’s investment in their workers in the long term. 

Surveys suggest employees have been putting off job changes during the COVID-19 pandemic, meaning a wave of turnover may be coming soon. Employers may want to think proactively about ways to keep employees around. In other words, when it comes to top performers, employers should be reluctant to let these employees go. That’s where professional development comes in. YES! Some employees are driven by more than just compensation! Generally, this involves cross-training employees on other positions or otherwise preparing them to take on additional responsibilities. This helps provide the employee with more growth opportunities while still keeping them within the business. Offering such development opportunities also signals to prospective employees that a workplace has upward mobility and is willing to help workers along with their career goals—two factors that can weigh heavily in recruiting conversations. This one will actually work well for your business; cross-training provides security in your foundation and non reliance on any one individual for any one function.

Last up! Wellness is a hot topic these days, and employees are looking more and more for employers who take wellness seriously. This can be especially true in the wake of the COVID-19 pandemic, where health consequences are interwoven with everyday decisions. In fact, through the lens of the pandemic, ignoring wellness initiatives may be interpreted as ignoring overall health—something employers obviously want to avoid.  

Different workplaces will offer different wellness benefits, but the purpose of any of them is generally to increase employees’ overall well-being. For instance, benefits may include mental health counseling, healthy breakroom snacks, gym memberships, fitness trackers, yoga sessions or other perks. When it comes down to it, employees want to feel like their employers care about them as individuals. This means prioritizing well-being.

Remember, you do not need to implement all of these suggestions. Survey your team, understand what is important to them, contact your benefits provider or PEO and start customizing your benefits package.

Thinking about a PEO and how your small business can benefit, Libertate Insurance can help.

The Week in Review

We hope you had time this week to review some great posts by Paul Hughes and James Buscarini. 

On Tuesday, James shared with us some great tips on how smaller employers can attract and retain talent when competing with larger firms.  Check out his post on 6 Benefits to Attract and Retain Small Business Employees.    

On Thursday, Paul reminded us of the ongoing trends which are playing out in the realm of cyber Insurance.  According to content sourced from AM Best, we are witnessing an increase in both frequency of events as well as average cost per event in the cyber space.  This trend will, no doubt, bring about not only marked increases in cyber insurance premiums, but more rigorous requirements in cyber security by carriers willing to continue offering products in this space.  For full details, check out his post Annual Growth of Cyber Claims is Double Growth of Cyber Premiums.  

On this day, June 11th in 1776 the Continental Congress created a committee to draft a Declaration of Independence with Thomas Jefferson, John Adams, Benjamin Franklin, Roger Sherman, and Robert R. Livingston as members.  Thomas Jefferson primarily penned the original draft which was dived into five sections, including an introduction, a preamble, a body (divided into two sections) and a conclusion.  While the body of the document outlined a list of grievances against the British crown, the preamble includes its most famous passage: “We hold these truths to be self-evident; that all men are created equal; that they are endowed by their Creator with certain inalienable rights; that among these are life, liberty and the pursuit of happiness; that to secure these rights, governments are instituted among men, deriving their just powers from the consent of the governed.”

The Continental Congress reconvened on July 1.  The process of consideration and revision of Jefferson’s declaration continued on July 3 and into the late morning of July 4, during which Congress deleted and revised some one-fifth of its text. The delegates made no changes to that key preamble, however, and the basic document remained Jefferson’s words. Congress officially adopted the Declaration of Independence later on the Fourth of July (though most historians now accept that the document was not signed until August 2).

What would Thomas Jefferson think of our cyber insurance woes of today?

Happy Friday everyone!! 

Friday Round-up

Happy Friday everyone, and Happy Hanukkah to those of you who celebrate the Festival of Lights!

Two of the MGU (Managing General Underwriter) partners we work with have announced new carrier partnerships for 2021. Be sure to check out our post on this news via the below link.

MGU Updates: New Carrier Partners for 2021

Also, as we head into the Open Enrollment season for most employer sponsored benefits programs, be sure to check out our post on 2021 Employee Benefit Trends.

Stay safe and healthy this weekend!