REWARD
Dianne Hoodless MSc ChFCIPP FHEA, Head of Group Compensation and Benefits, TFG Brands, shares how organisations can effectively use their reward and benefits strategy to attract and retain the top talent
T he importance of a strong reward and benefits strategy is fast becoming crucial to many businesses when attracting and retaining top talent. Businesses are realising retention is a key cost saving, as recruitment can be expensive. The cost-of- living crisis has had a huge impact on many employees, so if businesses can offer a strong reward and benefits package without necessarily offering high salaries in their market, they can still attract the top talent. Many companies face the problem of being restricted by budget, so they can’t afford to increase salaries plus the associated-on costs, such as increased employer National Insurance and pension contributions. Companies are looking to cut costs and save money in the long-term, while also retaining that important talent. Those companies start to look for alternatives, but what could they consider? One way would be to introduce a rewarding and engaging employee benefits package which has something for everyone. Research points to reward According to research by corporate gift organisation, Adler, two-thirds (66%) of employees in the UK believe the employee benefits offered to them are equal to, or more important than, their basic salary. Please see here for
“Companies of all sizes can introduce employee benefits which go a long way in not only increasing loyalty, but also in creating an environment employees enjoy working in”
the relevant research: https://ow.ly/ yYot50VjJFf. Employee benefits statistics highlight that benefits increase loyalty. Research also shows that employees who have and use a rewarding and engaging employee benefits package are less likely to switch employer, because they might not get the same at another company. Companies of all sizes can introduce employee benefits which go a long way in not only increasing loyalty, but also in creating an environment employees enjoy working in. An enjoyable working environment plus attractive employee benefit offerings could not only improve retention but could also make your company more attractive to new recruits.
a move toward the emergence of flexible benefits and giving employees a choice over which employee benefits they want to make use of. Some of these benefits could include: l flexible working l discounts in shops and cinemas l inclusive health and medical perks, such as Virtual GP, wellbeing vouchers or gym memberships l “green” car schemes l meal vouchers, such as Tastecard l generous pension schemes l employee assistance programmes l health assessments l salary sacrifice arrangements, such as cycle to work l Christmas clubs l any day payday, such as Early Pay, which allows employees to draw down on earned income l birthdays off work l travel loans. One benefit rising in popularity is
The emergence of flexible benefits
Several employee benefits statistics show that employee benefits like cycle to work schemes are popular. There’s also been
| Professional in Payroll, Pensions and Reward | April 2025 | Issue 109 36
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