8 Reasons Why Great Benefits Make Employees Want to Stick Around

Sure, having a video game system in the breakroom is fun, but it doesn’t keep quality people around. You have to do more than that to win the employee retention battle.

Losing your employees to the job market is expensive, time-consuming, and a reputation destroyer, but you can keep the best people around for longer by doing the following.

1. Competitive salary and health benefits

Financial stability motivates most employees to stay in a job, but it’s often the last thing employers consider when trying to fix their retention problem. Health benefits are another deciding factor on whether or not top talent remains in your company for good.

Having Medicare coverage is very attractive to employees as many of them wouldn’t survive without it. Startups often don’t have the capital to offer raises, but if they can at least offer a more substantial benefits package, they’ll attract and keep more recent hires.

2. Paid leave and paid sick leave

Getting enough paid time off each year is very important for employees, especially if they’re working remotely. Most freelancers miss out on paid leave because they aren't getting paid if they aren’t working. Paid leave gives your employees a chance to actually get some rest.

Without paid sick leave, employees who fall ill may feel pressured to come to work, spreading their germs around. If they can't go to work, they may feel bad that they aren’t doing their part. Offering paid leave shows your employees that you care about their health and wellness.

3. Paid maternity and paternity leave

Most people place a lot of importance on family, and the thought of receiving maternity or paternity leave is a massive benefit to hopeful parents. A reasonable amount of paid parental leave is essential for moms and dads, but many employers don’t offer this as a benefit.

An NBER Working Paper study shows that adequate maternity leave leads to higher female labor force participation, lower infant mortality rates, health benefits and increased breastfeeding rates. Due to these findings, several countries consider parental leave mandatory.

4. Further skill training

Many people enter the workforce without a college degree or subsequent training, usually due to financial restrictions. The construction industry creates a lot of stability by offering free journeyperson training only if the employee stays in the company for a length of time.

Other industries could do the same, and most employees would be happy to stay. It’s a win-win situation for both the employee and employer. Not only will employees feel that they’re being appreciated and nurtured, but the employer gets to keep a motivated, skilled worker.

5. Pension plans

Just like healthcare benefits, pension contributions reassure employees that they’re cared for. While young people don’t often think about retirement, they’ll undoubtedly appreciate having a pension plan once they’re older. Planning for the future is essential for everybody.

An employer who contributes to a retirement fund is invaluable, especially if they match it. If an employer can offer education on how pension plans work and why they’re important, more employees will feel grateful for this benefit. Plus, they’ll feel thankful for having them as a boss.

6. Work-life balance

An adequate work-life balance is challenging to find, and employees are valuing their free time more than they ever have. To keep your employees healthy and happy, create policies that allow them to enjoy their personal lives. For example, don’t send emails on evenings and weekends.

A flexible schedule can go a long way in telling your employees you care about maintaining their work-life balance. Happiness off the job often translates to happiness on the job. When employees are happy, they’re less likely to leave, which means less time spent on recruitment.

7. Freedom to fail

Creativity is often discouraged in the workplace, and it isn’t usually because employers are actively telling their employees to stop. Employers who apply strict consequences to failure are destroying their staff’s ability to come up with great ideas that may make the company money.

Although productivity is important, creative thinkers can shift the way businesses operate. When a workplace encourages the free flow of ideas, innovation happens. Employers should let their employees know it’s okay to fail, and they won’t be penalized for expressing themselves.

8. Leaders, not bosses

People follow leaders willingly, while people follow bosses reluctantly. The old adage “people leave managers, not companies” is a hard truth, so employers need to keep an eye on their managers and their own behavior. Both have to develop soft skills and motivate others.

On top of that, leaders should be able to handle challenges, have a clear direction towards the future, inspire confidence and believe in their staff. Employers who are organized, sincere and available for their employees are respected by the people who follow them.