How Workplace Benefits Help Businesses Attract and Retain Talent 

In today’s competitive job market, attracting and retaining top talent has become increasingly challenging for businesses of all sizes. While salary remains an essential part of a job offer, workplace benefits play a vital role in influencing employees’ decisions to join or stay with a company. A strong benefits package can set your business apart, making it more attractive to prospective hires and more likely to keep your current workforce engaged and loyal.

The Competitive Job Market

The job market is more competitive than ever. According to a survey by Aviva, 43% of employees would consider leaving their job for one that offers better benefits, even if the salary remained the same. This shows that benefits are no longer an afterthought—they’re a critical factor in decision-making.

For businesses looking to stand out, it’s crucial to offer benefits that align with employee expectations and industry standards.

Core Benefits That Matter to Employees

Certain benefits are considered fundamental in the job market, and businesses that get these right are more likely to succeed in attracting top talent.

• Health Insurance & Wellness Programmes: Access to private health insurance is highly valued by employees, particularly as NHS waiting lists have grown. A survey by Willis Towers Watson showed that 68% of  employees view private health insurance as a key benefit. Additionally, wellness programmes—including mental health support, online fitness classes, or access to mental health apps—are becoming increasingly popular.
• Retirement Savings: Pension schemes are critical in the , especially with auto-enrolment in workplace pensions. A study by Scottish Widows found that 64% of employees consider a strong pension scheme essential when evaluating a job offer. Offering competitive contributions beyond the auto-enrolment minimum, or providing financial education around retirement savings, can make a business much more attractive.

Family-Friendly Policies

Family-friendly benefits, such as enhanced parental leave, childcare vouchers, or flexible working hours, are highly valued in the  workforce. A 2021 report by the ’s Working Families charity showed that 58% of working parents would switch employers for better family-friendly policies. By offering benefits that support work-life balance, businesses can attract a more diverse talent pool and improve employee satisfaction.

Enhanced family policies, such as offering shared parental leave beyond the statutory minimum, or accommodating part-time or remote work for parents, help foster a supportive and inclusive company culture.

Protecting against the worst case scenario

Providing employees with financial protection during life’s worst moments is a powerful benefit that can set a company apart. Offering death in service benefits ensures that if an employee passes away, their family will receive a lump-sum payment—usually around two to four times their salary—providing essential financial support during a difficult time. Meanwhile, critical illness cover offers employees financial assistance if they’re diagnosed with a serious illness, such as cancer or heart disease. With around 300,000 people in the  diagnosed with cancer each year, according to Cancer Research , this kind of protection can be invaluable.

Income protection ensures that if an employee is unable to work due to long-term illness or injury, they’ll still receive a portion of their salary, helping them maintain financial stability during recovery. These benefits not only demonstrate that an employer cares for their team’s wellbeing but also help reduce anxiety about the ‘what ifs,’ fostering a greater sense of security and loyalty.

Financial Education and Support

Another powerful way to support employees is by offering access to financial advisers who can provide education and guidance. In an environment where many employees may feel overwhelmed by financial decisions—whether it’s pensions, savings, or managing debt—having an expert on hand to run seminars and answer individual questions can make a significant impact. According to research by Aegon, only 8% of  employees feel confident about their retirement planning, which shows a clear need for financial literacy and support in the workplace. An financial adviser, such as myself can host workshops covering topics like long medium and short term planning, savings strategies, tax efficiency, mortgages etc. This not only equips employees with the tools to manage their personal finances but it also gives them an outlet if they need a hand.

The ROI of Investing in Benefits

The return on investment (ROI) from offering a strong benefits package is clear. According to a survey by the Chartered Institute of Personnel and Development (CIPD), employers that offer a comprehensive benefits package are 20% more likely to see higher employee engagement levels. Engaged employees are more productive, more loyal, and less likely to leave.

Additionally, businesses with strong wellbeing programmes have reported a 30% reduction in employee absences according to the CIPD’s Health and Well-being at Work report. Lower absenteeism and reduced turnover save businesses money in recruitment, training, and lost productivity costs. Investing in benefits not only boosts retention but also creates a more productive and resilient workforce.

If you believe your company could benefit from a thorough review of its workplace benefits, we invite you to book a complimentary consultation to explore ways to enhance your offerings and better support your employees

 

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