Restructuring Benefits Model – The Key That Turns Organizations Into “Talent Magnets”
Fundamentally, what people want from work has not changed, but how they want to engage with work has.
Adopting inclusive flexibility for talents retention
According to the “2022 APAC Benefits” report from Mercer, 77% of employers in Asia are reviewing or changing their benefits package. For talent attraction, flexibility ranks at the 2nd to pay and benefits. The report also shows that providing flexible benefits is the second most important of HR priorities for 2022, which is 63%, increasing by nearly 10% compared to 2021.
Inclusive flexibility is the new keyword for HR trends in 2022, which means businesses should provide packages that benefit all employees as well as embrace a broader view of flexibility to offer something for everyone, not just those who work remotely. HRs are now facing the pressure of being highly responsive to the diverse needs of employees but still ensuring businesses’ sustainability.
“In the new normal, employees demand good compensation and stable career and tailored policies to their personal needs. The key to attracting and retaining talents lies within the ability of businesses to boldly carve a new path, introduce a diverse range of benefits that fit with the new demands of employees” – Ms. Quỳnh Phương, Director of HR Consulting Service of Talentnet shared.
Steps to restructuring benefits model
After the pandemic, the change in workers' priorities has made basic benefits no longer attractive to the workforce. In order to restructure the benefits model, Ms. Quỳnh Phương suggests 3 steps that HR can refer to:
Step 1: Create the core benefits as medical or risk benefits. “Health care is the basic benefit but the unique approaches of each business are the key to creating competitive advantages to attract and retain talents more efficiently. Many progressive businesses around the world are offering extended health packages not only for parents but also for employees' spouses or even same-sex partners. The act of expanding healthcare coverage not only reassures employees but also shows the radicality and equality of business, thereby enhancing employer branding.”
Step 2: Create a differentiated experience by providing flexibility. Businesses can provide flexible spending accounts for employees to upgrade their skills according to their needs besides company training courses. This will provide employees with flexible benefits tailored according to their needs.
Step 3: Create unique benefits by extending flexibility and personalization. The needs and concerns of employees change from time to time. For that reason, businesses need to pay attention to employees’ interests and provide appropriate adjustments. “Businesses should avoid building programs without delving into the reasons for employee burnout. This can cause a backfire and prevent HRs from touching employee’s hearts” – Ms. Quỳnh Phương noted.
Restructure benefits model can bring flexible, diverse and unique experiences should be the top priority of HR nowadays. HR can start making a difference from the most basic benefits, step by step build-up comprehensive and appliable for all employees.
Source: Nhịp Cầu Đầu Tư