Top 3 Benefits Employees Value the Most
May 30, 2024
SEB Marketing Team
Employee benefits are one of the essential factors for attracting and retaining top talent. HR leaders and benefits professionals, who desire to stay competitive in the industry, need to stay updated on what employees value most in their benefits packages. Recent data reveals that the top three benefits employees prioritize are health insurance, retirement savings plans, and flexible work arrangements for better work-life balance. Here’s a more in-depth look into these benefits and their importance to employees.
- Health Insurance
Health insurance consistently ranks as the most valued benefit among employees for a reason. Comprehensive health coverage provides peace of mind, reducing financial stress associated with medical expenses. With the rising awareness and costs of maintaining physical, mental, and emotional well-being, employees value more robust health insurance plans. These plans, covering a wide range of medical needs, continue to be on top of the list.
Benefits to employees: Health benefits are highly valued because they offer substantial advantages that contribute to overall wellbeing and job satisfaction. Comprehensive health benefits alleviate the financial stress associated with healthcare costs, enabling employees to seek timely medical care without the burden of out-of-pocket expenses. Access to extended health benefits, including prescription medications, dental care, and vision care, ensures that employees can maintain the health of themselves and loved ones more effectively. Furthermore, these benefits demonstrate an employer’s commitment to their employees’ wellbeing, fostering a positive work environment, improving employee morale, and supporting organizations in retaining a competitive edge for attracting and retaining top talent. Not to mention, providing financial literacy is a critical component of financial wellness empowering employees to make informed decisions about their finances and enhancing their overall financial security and satisfaction.
- Retirement Savings Plans
A secure financial future is a significant concern for many employees as many do not have a proper retirement savings strategy. Retirement savings plans, such as RRSPs and employer-sponsored pension plans provide financial security for the future through regular contributions, potential employer matching, and significant tax advantages.
Benefits to employees: Retirement savings plans offer employees critical financial security for their retirement years allowing them to systematically save a portion of their income, often with the added advantage of employer matching contributions. This not only boosts their retirement funds but also provides a sense of financial stability and peace of mind. Additionally, contributions to these plans are typically tax-deferred, reducing the immediate tax burden and allowing for greater growth of retirement savings. By supporting long-term financial health, retirement savings plans help employees plan for a comfortable and secure future, enhancing their overall job satisfaction and loyalty to the employer.
- Flexible Work Arrangements
In the wake of the Covid-19 pandemic, the desire for more flexible working arrangements has surged. Flexibility in work hours and the option to work remotely cater to employees’ desires for better work-life balance.
Benefits to employees: Flexible work arrangements are a highly valued benefit for employees because they offer numerous advantages that enhance work-life balance and overall job satisfaction. By allowing employees to adjust their work schedules or work remotely, organizations foster trust and support for employees to manage personal and professional responsibilities in a manner most effective for them. Also, the ability to avoid long commutes saves time and money and can contribute to better work environment by minimizing burnout and increasing productivity. Offering flexible work arrangements can be a key factor in attracting and retaining top talent, making it an essential component of a modern, employee-centric benefits package.
Understanding the benefits employees value the most is essential for crafting attractive and competitive compensation packages. Health insurance, retirement savings plans, and flexible work arrangements are top priorities for employees today. By focusing on these benefits, HR leaders and benefits professionals can enhance employee satisfaction, boost retention rates, and attract top talent to their organizations.
SEB is Canada’s leader in providing benefits administration solutions to over 400,000 plan members from Canadian companies. For more information, check out our solutions page here.