MANY years ago, only wages and salaries mattered to most job seekers. As long as the pay was good, they were willing to take the job. But in recent years, another element has become an important consideration for job offers: benefits. According to a recent report by Glassdoor (an American website), almost 60% of job seekers consider benefits when deciding whether to take a job. This includes, but is not limited to, retirement plan, career growth, working conditions, and most importantly, insurance. Employees covered by the Glassdoor survey said that for them, health insurance is the most important benefit from their employer.
The pandemic contributes greatly to this. Many employees who have become seriously ill and hospitalized in critical condition due to Covid have had to rely on their group health insurance to cover associated expenses. As we know, Covid expenses can run into the millions, and having group health insurance is a big financial relief for patients and their families. While those who succumbed to the virus, at least, had life insurance policies to pay for final expenses. This triggered an increased awareness of the value of insurance among employees. Indeed, many of those who lost their jobs during the pandemic regret having lost their group insurance coverage more than their base salary.
Today, having insurance as part of any company’s benefits, whether in large companies or in SMEs, is a big problem and offers great advantages for both employees and employers.
Helps attract and hire talent. Offering an employee a benefits package gives the employer a competitive advantage when hiring. Quality talent is now attracted and gives more weight to what a company can offer in terms of benefits, especially in terms of insurance. Suppose a potential employee decides between two job offers (or an employee quits), perks like comprehensive health insurance can tip the balance in your favor. Additionally, from the same Glassdoor survey, it was reported that 4 out of 5 employees would rather have new or improved benefits than a raise. This is a good window for SME employers to compete with larger companies that have deeper pockets to pay more. Even if SMEs can’t afford big paychecks, with an attractive benefits package, they can still attract and retain the best candidates.
Provides protection and peace of mind. Insurance is necessary to provide financial protection when you need it most. And it usually happens when you least expect it. Knowing that you and your family members (most plans also cover your family members) have significant insurance coverage as part of your benefits package can be a great source of comfort and allows you to sleep at night. After all, we’ve seen how a serious illness or accident can financially ruin someone who doesn’t have health insurance coverage. Now, for employers, having group insurance for your employees will eliminate the need to set aside reserve funds for their emergency medical needs. This may not be a big concern for giant corporations that have all the resources, but it is certainly the case for SMEs whose financial situation can be greatly affected by an employee’s hospitalization costs. .
Increases engagement and productivity. Healthy employees are more productive. The more physically healthy employees are, the more dynamic, energetic and efficient they are in their work. Provide employees with access to quality health care and employee wellness programs, such as gym memberships, exercise or yoga classes, mental health sessions, etc. ., free or subsidized, removes a significant financial barrier for employees and their families. When they feel satisfied and satisfied with their insurance and health care plans, they can focus more on their work and become more productive. Healthy, happy and satisfied employees also have better and stronger relationships at work. For employers, offering health and wellness benefits can lead to fewer sick days and absenteeism, which can positively impact their bottom line.
Improves talent retention. A superior benefits plan also minimizes employee turnover. When employees know that their company cares about their health and well-being, they stay and become more loyal. A survey showed that 60% of employees who said they felt supported by their employer plan to stay with their organization for more years, compared to just 7% of those who said they did not feel supported by their employer. employer. Additionally, some employees stay on because of insurance benefits, as it can be expensive to convert or replace them with an individual plan, given current age and health status. On the other hand, high retention is beneficial to the business as it reduces recruitment and training costs associated with new hires.
Offers tax benefits. With inflation rising, fuel prices rising and the peso devaluing, we need all the savings possible. The good news is that a number of employee benefits, such as contributions to group health and life insurance and pension plans, can be a source of savings for the employer and the employees, as they may be exempt from tax. Not only will this provide you with financial protection, but the insurance benefits will save you money.
Several companies in the market offer superior employee health insurance plans. One example is Sun Life Grepa Healthcare, which recently launched its campaign called MSME MyBiz, emphasizing the idea that even micro and small business owners can protect their employees, in addition to government benefits. Their slogan, “Kwento mo sa akin Negosyo Mo”, fits well with their mission to become the partner of a small business to protect its employees as they grow. I learned that for just P50 per employee per year, an employer can already provide an extra level of protection and peace of mind to their employees. Definitely worth more than what you pay for.
Keep in mind that superior benefits contribute to the evolution and growth of the company. It attracts, hires and retains the best employees. Additionally, as our country’s healthcare system continues to evolve and affect the lives and finances of our workforce (and their families), an employer-provided health insurance program is no longer just a benefit, it is an important gift.
#gift #employee #insurance