With the rise of remote work, benefit benchmarking can be a game-changer in fighting for talents and retaining the best employees. It can also help you optimize costs and stay ahead of the competition.
Benefit benchmarking during the pandemic
The pandemic has led to consequences that executives didn’t expect. One of them is the intertwining of work and life, which is especially painful for single parents. Employees worldwide are struggling with burnout, and they need better mental health support. Some have faced a stark choice: kids or paycheck.
Because of this, many executives have revised the benefits they offer. According to Care.com’s “The Future of Benefits” report (1) 98% of decision-makers plan to add at least one employee benefit because of the current situation. 57% say they will make childcare benefits a higher priority and expand mental health support.
“With the rise of remote working, employers have decided to ask their employees what their needs are. Is it upgrading their home office? Psychological support? Flexible working arrangements? Better health care? The problem starts with scaling – with 10,000 remote workers, it takes more than a Google Form to do a reliable survey. With structured data analysis, you can create a list of artifacts people need to be effective at work,” comments Daniel Aduszkiewicz, CEO & Co-Founder of the Human Panel.
Retaining people through the right benefits
To successfully attract and retain top talent during the pandemic, know what your competition is doing. When faced with two similar job offers and equal pay, candidates will choose the prospective employer in terms of benefits. And with the scarcity of top talent in the market, your offer can make a difference.
However, don’t follow your rivals blindly. “If you see your competitor offering MacBooks to everyone, you might think they know something you don’t. But buying laptops for everyone in your company could be a dead end because your workforce might be totally different from your competitor’s. Maybe you have more seniors or immigrants, and you should focus on helping them with acclimatization instead of offering equipment or video games subscription,” says Daniel Aduszkiewicz.
Get ahead of the competition
Benchmarks can also help keep up with trends. In these unusual circumstances, employers tend to use a range of tactics to keep their employees happy. They may include upgrading their home internet connection, financing their electricity bills, or providing Covid recovery packages delivered to their doorstep.
Such ideas can work, but don’t overdo it. The Willis Tower Watson 2020 Covid 19 Benefits Survey (2) shows that what people value most are not the weekly snack packs, but things that make them feel safe and cared for: good health insurance, access to remote medical care, family-friendly and mental health benefits, and financial well-being.
“Everything depends on the workforce you have, so don’t rush into new trends just because others are doing it. You don’t want to experiment too much. Implement strategies that will keep your employees in your organization not only during the pandemic but after it’s over,” concludes Daniel Aduszkiewicz.
He adds that benefit benchmarking can also contribute to cost-optimization. If you’re spending significantly more than your competitors, it might be high time you did an overhaul. Again, it’s data that can help you measure costs and figure out where your spending is much higher or much lower than average, which will in turn enable you to optimize the costs.
If you want to work with the right data and the right tool that will make your workforce management easier, check out our free demo and see how Human Panel can help you track the cost of benefits and other HR metrics. Contact us by filling in the short form below.