Gone are the days when employees would stay at one company for the entirety of their working career. According to Workopolis, frequent job changing is the new normal with 51% of people leaving any given role in two years or less.
With this shift in employment habits, the employer-employee relationship has also changed. Employers should not feel obligated to provide unlimited benefits for employees or feel like they have to watch out for them forever. Employees aren’t loyal; employers therefore may not have a long-term commitment to them – so what does this mean for benefits plans?
A Benefits Plan Is a Promise – That YOU Define
Your benefits plan is a promise between you and your employees, but it doesn’t have to be an unlimited promise.
The best thing about customizing a benefits plan is that you have complete control. You decide what to offer your employees; you decide how you want to define the benefits based on what you can afford and your compensation philosophy.
We define a corporate compensation philosophy as the strategic decision an employer makes about how to position their company to current and would-be employees. Executing on a strong compensation philosophy can help you attract desirable candidates and retain your top performers. In today’s job (hopping) market, this is a top priority for many businesses.
Do your employees tend to hop on to the next opportunity within a year or two? In that case, you may want to reward longevity and loyalty with the company by introducing benefits that increase with time in the company. Healthcare spending accounts tend to work well for this. With a system like this in place, you can provide more comprehensive benefits for those employees who stay with your organization while offering limited benefits to those who don’t. This can help you stay on budget and achieve your business goals.
Customize your benefits plan to control costs and meet your unique goals within the changing employer-employee relationship. Benefits plans don’t have to be a one-size-fits-all solution.
Small businesses and national corporations alike can build a better benefits plan to help them face this new job- and career-hopping trend.
The Benefits Trust specializes in designing custom benefits plans. Let us help you create a benefits plan that meets your specific needs. Contact us today to get started!
Check out our FREE eBook for a comprehensive look at HCSAs: “The Smart Business Owner’s Guide to Healthcare Spending Accounts.”
More on Custom Benefits Plans from The Benefits Trust:
- Do Employee Benefits Trump Higher Salaries for Millennials?
- Your Benefits Plan Has a Drug Problem – It’s Time for an Intervention.
- How Employers Can Change Their Benefits Plan without Re-Enrollment
- Case Study: Eliminating Late Enrollments While Providing Immediate Protection in Factor Setting - March 10, 2021
- Beware the “COVID-19 Adjustment Factor” in Your Next Renewal - January 28, 2021
- Happy Holidays from The Benefits Trust! - December 18, 2020