Any employer will worry about employee retention rates, especially if they are consistently low. You could be spending a lot of resources hiring new talent at each turn, losing time and money to find new employees. If this sounds like a problem you’re facing within your organisation, we can help.

In this blog, we will discuss how you can increase employee retention, regardless of whether you are an employer or a HR representative. In particular, we will explore how providing employee perks can combat low employee retention rates, and how you can implement them within your organisation. 

So, let’s get right into it!

What is employee retention?

Firstly, let’s define employee retention — whilst it could be described in different ways, a simple approach to the meaning is that it’s simply whether employees are staying with their current employer, and are not seeking other job opportunities. Good employee retention means that employee turnover is low. 

There are several reasons why an employee might leave a company, but a 2022 survey by the Pew Research Center has shown that 37% of employees who left their jobs cited low pay as a major reason for leaving, followed by 33% citing no advancement opportunities. In the same survey, 23% of participants cited poor benefits as a major reason for their decision to leave. 

Improving retention rates with employee perks 

So, how can employee perks increase employee retention? 

When it comes to an employee benefits package, it’s important to consider valuable perks that will act as an incentive for employees to not only remain loyal to your company, but to also motivate and boost employee morale which will positively impact employee performance. 

A recent survey conducted by Forbes Advisor found that 67% of employees believe that employer-covered healthcare is the most important benefit employers should offer. This is followed by life insurance, cited by 45% of employees, and pension and retirement plans, which were chosen by 34% of employees

As you can see, employee benefits are certainly at the forefront of employees’ minds, which is why employers must be able to introduce valuable employee perks, leading to improved employee satisfaction, and therefore, increased employee retention. 

Employee perks to consider

An employee benefits package can include a wide variety of employee perks. Some examples to consider, alongside those mentioned above, are:

  • Pet insurance
  • Gym membership
  • Discounts/vouchers
  • Access to wellness/wellbeing programmes
  • Paid time off
  • Flexible working hours/flexible working schedule

Think about what types of perks your employees benefit from the most – during this current time of economic uncertainty, perks that can help protect your employees’ financial wellbeing may be worth considering.

Ask and listen to your employees

If unsure, you can’t go wrong with asking your employees for recommendations on what employee perks they would like to have as part of their employee benefits package. Conduct surveys and possibly even interviews to investigate their top desired perks. 

Don’t forget that, once you have your answers, always make sure that you follow through and implement some, if not all, of their recommendations. Showing that you actively listen and respond to employee feedback could also prove to your employees that you appreciate and care about them, encouraging them to stay with your company. 

If you have any questions or enquiries about how PeopleValue and our benefits delivery solution can help improve your organisation’s retention rates, don’t hesitate to contact us at [email protected] or by calling us on 01865 876696.