Throughout my career, employers have consistently voiced a similar concern—the struggle to recruit and retain employees. Today, this issue is more prevalent than ever. So, the question arises: How do you compete with other employers to attract and retain a skilled workforce in a tight labor market? Salary, position and benefits are key considerations. Employees are constantly comparing benefits to what they could get elsewhere. What can you do to compete? Focus on retention—survey your team.
Instead of guessing what employees value, ask them. It’s more cost effective keeping employees happy than replacing them. Yet, employers often make decisions in a vacuum and are surprised when people leave due to subpar options and benefits. By being proactive, you can avoid losing employees due to deficiencies in your programs. Everyone can win—follow these four key concepts and learn from your workforce:
Keep it short and simple. First, ask employees to select from a list of work-life options that genuinely interest them. Then seek three to six open-ended responses. Ask broad questions such as, “Why did you join our team? What makes you stay?” Follow up with specific questions like, “What’s the No. 1 benefit you’d like us to offer?” It’s important to survey both core benefit and non-benefit items to provide a better picture of what employees want from their package. You may be surprised by their ideas.
Be clear about what you’re promising (or not). At the beginning of my surveys I state, “We don’t know what we may or may not be able to offer at this time, but we want your feedback so we can try to offer what matters most.”
Keep it confidential. Vital for transparency, employees won’t be as forthcoming if they’re concerned their comments might be used against them. Ask an outside entity—such as your benefits broker—to manage the survey and provide an aggregate report. Assure employees that responses will be gathered by a third party, are confidential and won’t be attributed to any individual. It’s imperative to uphold this confidentiality. Employees should feel safe to share personal struggles. Protecting their privacy is paramount.
Acknowledge that you listened! Don’t be afraid to be vulnerable as this builds trust and loyalty. Employees appreciate transparency. Where appropriate, share your findings. Let your workforce know what is—or isn’t—currently feasible. If you add a benefit based on the survey, state: “We heard you! We’re excited to announce the launch of “The XYZ Program.”
Employees want to feel heard. Consistent communication related to the survey builds morale and improves employee retention. Again, lean on your broker to help communicate to your team, this should be a core service.
Next, let’s talk recruitment. Surveys reveal what your employees value. Benchmarking helps you understand if your packages are competitive. Ask your broker for a Benchmarking Survey. Good surveys combine local and regional data allowing you to better understand trends. You’ll gain insights into what competitors offer, and how you can beat it.
Trends leading into 2023
Here are five trends I’ve seen North Bay employers leverage to retain employees:
- More Vacation Time: Offering unlimited PTO isn’t always what it’s cracked up to be. When surveyed, employees often mention they avoid using PTO because they feel there’s no internal support to take time off. This can lead to burnout and larger issues for the employer. Careful planning with an organizational development team can circumvent these issues.
- Dependent Care Assistance Programs (DCAP): This benefit doesn’t have to cost employers ANYTHING but gives employees a tax break for childcare. You can go a step further with a direct-discount program with a local childcare provider.
- Wellness Programs: These come in many forms, so it’s important to survey employees to understand what a wellness program means to them. With that knowledge, you can start small and build from there.
- Health Reimbursement Arrangements: HRAs are different than HSA plans. HRA programs tend to be more flexible for employees to use while also creating a limit on the employer’s financial exposure.
- Student Debt Paydown Programs: Rising student debt is making headlines. Many vendors support student debt paydown programs which can be offered on an employer-paid or an employee-paid benefit.
In today’s labor market, savvy employers leverage employee surveys and benchmarking to develop a total compensation package to protect and build their most important asset—an energized and engaged workforce.
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