Why midsized companies need better benefits to attract top talent
In today’s competitive job market, retaining top talent is one of the biggest challenges faced by midsized companies.
While salary plays a key role in an employee's choice to stay loyal to your business, research shows that benefits play an equally important role.
For midsized companies, offering a well-rounded benefits package can make the difference between keeping employees happy and engaged and losing them to competitors. Here’s how:
1. Attracting and retaining top talent
Employees today expect more than just a good salary. They’re looking for employers who invest in their wellbeing and future.
Group life insurance, health insurance, and wellness programs signal to employees that their employer values their needs and their family’s needs.
These benefits not only attract the best of the best but also promote loyalty among existing employees.
2. Enhancing employee engagement
Employee benefits are directly tied to job satisfaction. When employees feel valued and supported, their engagement levels rise. This leads to increased productivity and a stronger connection to the company. For midsized businesses, engaged employees mean reduced turnover and a more united team.
3. Reducing high turnover costs
The cost of replacing an employee can range from 15-30% of their annual salary just in recruitment fees. By investing in benefits like health insurance, businesses can reduce the likelihood of employees leaving for competitors who offer better packages. This is especially important for midsized companies where each role plays a significant part in the running of the business.
4. Supporting a healthy work-life balance
Flexible benefits such as childcare support, wellness programs, and mental health support address employees' personal challenges, helping to reduce stress and sick days. Employees who feel their company supports their work-life balance are more likely to remain loyal.
5. Boosting company reputation
Employee benefits contribute to a company’s overall brand. Midsized companies often compete with larger organisations for talent, and a strong benefits package levels the playing field.
Employees who feel cared for often become ambassadors for your brand, recommending your company to peers and on popular platforms used by job seekers, such as Glassdoor.
Key takeaways
Offering a good employee benefits package isn’t just an expense - it’s an investment in your team and your company’s future.
Start by understanding your employees’ needs and tailoring benefits accordingly.
Partner with experts like IGotCover who can help tailor an employee benefits package that drives retention and loyalty.
