A common question that employers ask is: How can we make our benefits package more appealing to our current and prospective employees? A common solution that employers suggest is fringe benefits. But do fringe benefits actually help retain current employees and draw future talent?

Fringe benefits are an extra form of compensation that goes beyond an employee’s standard wage or salary. Not only do they help retain and motivate current employees, but they can also offer an advantage when recruiting prospective hires. Gallup reports that 54% of employees say better benefits are one of the top reasons for considering a job change. Having a competitive benefits package is crucial for remaining attractive to job seekers in today’s job market.

There are common fringe benefits that most employers offer, such as insurance, retirement plans, and paid time off. However, there are a few additional examples employers may want to consider to help their benefits package stand out:

Paid Parental Leave

Paid parental leave is one of the most impactful fringe benefits that employers can offer employees. According to the Bureau of Labor Statistics, only 1 in 4 employees have access to paid family leave. Current and prospective employees are searching for more support and flexibility in today’s workforce, and offering paid parental leave can help organizations retain existing employees and attract new hires. Some organizations already have explicit “maternity leave” programs in place, but it is important to consider fathers, adoptive parents, same-sex couples, and other “non-traditional” families when creating a parental leave policy.

Educational/Professional Development

Another impactful fringe benefit that employers can offer is an educational or professional development stipend. Some examples include encouraging employees to advance their career-related education and professional development by earning an advanced degree or obtaining industry-specific licenses to increase their knowledge and competency. Offering paid development opportunities is also a great benefit for prospective hires who are interested in taking the next step in their careers with your company.

Other Fringe Benefits to Enhance Your Benefits Package

• Gym memberships
• Cell phone & internet stipend
• Student loan repayment assistance
• Office equipment

Fringe benefits can be an effective way for employers to make their benefits package more appealing to their workforce and attract top talent. If you have questions about fringe benefits and what makes sense to offer your employees, please reach out to The Employer Group.

 

This information does not constitute legal advice.