Employers looking to add value for employees and attract highly coveted candidates should look to offer voluntary benefits programs. These include such insurance policies as accident, critical illness or life & disability. These types of policies have many benefits for both the employee and employer and could be key differentiators in attracting talent in an organization.
Positives for employees:
- Payroll deduction available through employer
- Portable with job change
- Sometimes cheaper than buying on own
Positives for employers:
- Increased morale amongst current employees
- No hard cost to employer unless employer elects to contribute
- Can attract new talent
From the employer’s point of view, these policies have low to no cost, are flexible, and are becoming popular amongst employees. According to an article by Bruce Shutan, participants cited the convenience of payroll deduction, and some said these policies are cheaper to buy through the workplace than on their own. The bottom line is that employees are thankful that employers are taking on the administration of these policies.
Another relevant aspect in offering voluntary benefits surrounds the fact that a majority of employees are not familiar with these types of products, especially the younger workforce. When the employer takes the responsibility of educating employees on the benefits available to them, they are thankful and feel a higher sense of security from adverse risk.
Candidates looking for new positions are taking a hard look at what kinds of benefits packages companies offer. As an employer, the adoption of voluntary benefit programs is one way to increase the benefit package without adding hard costs.