A few extra gifts such as vouchers for childcare of discounts of high end products will not only bring happiness to your staff, but also can positively benefit your business.
However, employers are not fully aware of this effective tactic and are still reluctant to provide their staff with satisfactory benefit.
According to a Canada Life Group survey, it is estimated that around 26 percent of employees never receive any benefits. Do your staff belong to this category?
Read through these points below to understand the advantages of giving out employee benefits for your organization.
1. Increase staff retention
Employee benefits can offer greater value than it actually costs, creating the incentives for your staff to work harder and try their best to achieve them. In return, you will not only see a rise in productivity, but also a motivating and attractive working environment.
These are cruticial factors that significantly increase the staff rêtntion rate. Also accroding to a research from Unum, around 66 percent of asked respondents say that they would continue to stay with the company that offered satisfactory benefits.
From those points, you can see that though employees beenfits are not compulsory, they are a perfect way to tell their staff that you care about them and the work culture. It is all because it is not legally-blinding, your staff can feel your sincerity.
Share Incentive Plans (SIPs) or Save As You Earn (SAYE) are other great perk for boosting retention rate by encouraging the staff to invest a sum of their salary into corporate business. In that way, they will be able to make more money as your business succeeds. Moreover, it is free for business owner to set up and play a significant role in pushing employees to work harder and stay with you for longer.
2. Reduce tax
Some of the beneift you give your employees in the form of non-cash benefit, you can save a sum of money for tax. Some of the example benefits can include travelcard, meal voucher, gym and healthcare.
However, if you really want to introcude employee beneifts as a way to cut down on tax, remember to consult with your accounting team carefully, because some of the benefits still be calculated into the taxed wages.
3. Make recruitment easier
Introducing employees additional benefits and perks is the trend for future recruitment. As the world we are living in is packed with so much complication. Flexibility and added benefits are crucial to fullfill the specific employees’ demand.
Therefore, by adding them into your job description, you will be easier to win the heart of quality candidates. This will also save you significant amount of time as about 83 percent of professional recruiters belive that employee benefits enable an easier recruitment process.
To sum up, employee benefits are now considered as an effective key to creat a sustainable and healthy workplace culture. This tactic, in the long term, can offer your business a great deal of benefit and sustainable growth.
At Faro Recruitment Vietnam, our specialists in term of human resources and accounting with help you to build a list of wide range benefits to make the best of your current staff as well as acess to a pool of high skilled employees.