Employee benefits play a big role in attracting and retaining top talent in most industries; and offering benefits to your employees can give your business a decided advantage over competitors that don’t. A 2013 study by Towers Watson found that:
- 29 percent of employees said retirement benefits were an important reason they decided to work for their current employer.
- 33 percent said that healthcare benefits were an important reason they decided to work for their current employer.
- 45 percent said that retirement benefits were an important reason why they stayed with their employer.
- 47 percent that healthcare benefits were an important reason why they stayed with their employer.
The only problem is that managing employee benefits can be arduous, especially if you don’t have a formal HR department. If your business is struggling to keep up with employee benefits management, here are five ways to improve and streamline this process.
1) Analyze Current Employee Benefits
To begin, it’s important to take a look at the benefits you’re currently offering and try to spot any inefficiencies. For instance, maybe you’re offering several benefits, but nobody is using certain ones. Maybe health, retirement and life insurance are popular among all employees, but no one is using vision.
2) Eliminate Unnecessary Benefits
If it’s obvious that that certain benefits aren’t being used, you may want to eliminate them from your benefits package. This is helpful because it will make it easier on whoever is responsible for benefits administration. It’s one less thing to deal with, and you can focus on more important benefits that employees do use.
3) Educate Your Employees
To ensure that your employees get the best benefits for their individual needs, it’s important that they have a full understanding of your benefits plans. Because the details are often confusing, it’s smart to assemble a packet of information to aid in their decision-making. You can also create an online resource with links to helpful websites. If you have open enrollment once a year, it’s ideal to present employees with these materials a week or two beforehand.
4) Get Benefits Administration Software
Keeping track of multiple employee benefits plans can be a daunting task. If you’re not already using some type of benefits administration software and doing it manually, it’s probably killing your efficiency and creating unnecessary stress. Utilizing this technology allows you to perform a variety of functions including:
- Onboarding employees
- Managing several different plans
- Accessing current employee benefit information
- Monitoring changing healthcare requirements
- Storing information virtually in the Cloud
There are a wide array of software platforms available, and you can find some of the more popular ones here.
5) Consider a Benefits Management Coordinator
If you’re feeling completely overwhelmed with employee benefits management, you may want to get help from a human resources outsourcing (HRO) firm. They can help you fine-tune your benefits packages and find plans at some of the best prices. A coordinator can take care of everything from negotiating with providers and renewing plans to assisting with paperwork and making sure that your company stays compliant with laws and regulations. Going this route can save you a lot of time and money and prevent many of the headaches that come along with benefits management.
Offering employees benefits is a smart move from a talent acquisition and retention standpoint. By implementing a few practical strategies, you can simplify employee benefits management and ensure that your workers get the coverage they need.