In this week's blog: How can you hire and retain all the best employees? The answer - different employee benefits for different generations. Segment your benefits package to make everyone happy!
It’s Christmas time, and you are hunting for presents for friends and family.
There are just two left to get.
One is for a 25-year-old, who’s just started working, is sharing a flat with one of her best mates, claims to be “skint”, and seems to spend a lot of her time coordinating her social life on her mobile phone.
The other is for a 58-year-old, who is almost an empty-nester and is beginning to wind down her work.
She enjoys the arts and has the funds to go to the theatre frequently, loves hosting large dinner parties and has a couple of writing projects planned for when she goes part-time.
What are the chances are that you would buy them the same gift?
Their interests and their needs are completely different.
There is a lesson here your company can learn when designing your benefits package.
You see, deciding which benefits to offer your employees is a bit like deciding which gifts to give your friends and family.
The aim of benefits is to help you attract and retain good staff.
So, you have to make sure that your benefits are things they really want….
That answer their needs….
And that they will actually go ahead and use.
But just like a 25-year-old and 58-year-old are likely to have very different taste in gifts, they are likely to want and need very different benefits.
After all, their financial means and priorities, their lifestyles and interests probably diverge considerably.
So how do you keep everyone happy – from digital natives and new hires right through to older workers approaching retirement, and even those who have passed the traditional retirement age?
The answer is to accept that benefits cannot be “one size fits all”.
You need to understand the demographic mix in your company and segment the type of benefits you offer accordingly.
And if you are looking to attract a particular demographic segment – for example, you want to recruit more millennials or more employees in the middle of their careers – then you need to design your benefits package so that it appeals to them, too.
Yes, it might sound like a lot of effort.
But it's nothing compared to what you'll go through with poor hires and high employee turnover!
This isn't just about pensions and health insurance, by the way.
Those benefits alone no longer help your company stand out, because all employers must offer pensions by law, and many also give their employees health insurance at similar cover levels.
Rather, I’m talking about the full range of benefits you might offer, from workplace savings to flexible work policies, wellbeing programmes and many more options.
So, for example, younger staff members who tend to put a high premium on social activism and social responsibility may love the idea of a Give As You Earn (GAYE) scheme, allowing them to donate to charity straight from their gross income.
Meanwhile, older staff may particularly value access to GP services without leaving the office, which may better suit their working patterns.
There are many other examples. In my next blog, I’ll walk you through, in detail, which benefits might appeal to your younger and older workers.
But in the meanwhile, if you are interested in reviewing your benefits package to ensure that it appeals to your entire workforce, and genuinely helps you with recruitment and retention, please get in touch with me today.
We’ll make sure that people in your company get benefits they love…