For small businesses and start-ups, employee recruitment is an important focus and money is considered the make-or-break benefit that will attract top talent. Key positions need to be filled, often quickly, so spending time to really develop a benefits package that will attract and retain skilled workers is something that often gets put on the back burner, but this is a short-sighted strategy. If your hard-won recruits don’t feel valued and decide to move on from your organization the costs in terms of productivity and financial and human capital can be extremely high.
Small businesses and startups should consider offering the following five key benefits to their employees to avoid costly employee turnover rates:
Benefits for start-up employees is crucial. You may not consider communication a ‘hard’ benefit, but for many employees it is. Younger employees especially want to feel like they have a voice at the place where they work and consider the opportunity to have their say in how a company is run a real benefit. Creating regular touchpoints such as staff meetings, employee surveys, and a culture where employees can express their views and present new ideas is a surprisingly effective antidote to workforce turnover.
An attractive health insurance package
A strong benefits package including comprehensive health insurance is important for retaining top talent. Skilled employees, who have in-demand education and experience, are likely to keep an eye on the market and know what they are worth in the eyes of other employers. Given the continual escalation of healthcare costs, reasonably priced health benefits are an important employee retention tool.
Life insurance options
While health insurance and retirement plans are generally core benefits that potential new hires expect to receive from their employer, life insurance is offered by fewer small businesses and startups. Having life insurance as part of an employment offer can give your startup or small business an edge in the eyes of top talent.
Perks that make life easier
While you may be tempted to overlook “soft” benefits such as a casual dress code, flex-time or complimentary office snacks during especially busy periods, these types of perks actually mean a lot to many employees and make the overall employment package more attractive—which means staff members are more likely to stick around.
Offer financial rewards
For startups, offering profit-sharing and future stock options or other financial awards for employees who meet performance goals and stay for a predetermined time period, are powerful benefit offerings. If your business can afford it, provide additional rewards to top performers based on clearly defined goals.
Does your startup or small business need assistance structuring an attractive benefits program? Contact our insurance professionals! We can help you find the right health insurance, life insurance and other key benefits for retaining your startup employees or small business team members.
Lauri Arnett has worked in the Commercial Service Department at Kemner-Iott since September 1998. She has a daughter, Haylee, who she loves watching perform at track meets and band concerts, and is currently getting her prepared for college! Outside of work, Lauri enjoys going to a Toledo Mudhens or Tigers games, going for long walks when the weather is nice out and loves spending time with the three people that mean the world to her, Haylee, Troy and Layne.
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