Updated: Sep 26
Is the cost of healthcare causing your employees to complain and become frustrated, when all you want them to know is that you understand their pain? You are paying more, too! A lot more! Do you feel frustrated that you are spending more and more to keep a great benefit package but don’t feel employees understand all that they are receiving? Or maybe the current employees are happy, but it is just becoming increasingly hard to recruit high quality candidates in a competitive market?
We all want to be the employer of choice. The place everyone wants to work. We want to keep morale high and increase loyalty amongst current employees, while building a reputation that we provide a great place to work and take care of our employees.
There are books written about this and it’s a topic that always starts a great conversation. The ideas are unlimited. But instead of talking about culture, leadership, flexibility and communication, let’s start with a very basic tool.
TOTAL COMPENSATION STATEMENTS
Yes, I know, to some of you this is not a new idea. But are you using them? With the rise in cost of medical insurance, more employers have started to include the employer’s cost of insurance benefits during open enrollment. This is a great idea, as well, that can help the employee understand the employer’s contribution. The problem is…employers spend a lot more on each employee than just insurance premiums. Why not show all those other contributions, as well? Plus, open enrollment time may not be the best time to gain the employees' attention. They are likely seeing increases in their costs at that time and may have trouble thinking about anything other than how it is affecting their paycheck.
Giving these statements out at a yearly company recap meeting or with a profit-sharing check would probably be a better idea. Given at a time when employees are feeling good about the company and can appreciate the investment you are making in them, just makes more sense.
So, what should you include in these statements? Here is the beauty. You can customize it however you want, to reflect all the benefits you offer your employees. Common items included:
- Insurance coverages (Medical, Dental, Vision, STD, LTD, etc.)
- HSA Contributions
- 401K Match
- Stock Purchase Plans
- Holiday Pay
- Profit Sharing
- Wellness Incentives
- Retirement Plan
- Mandated Benefits (Unemployment, Workers Comp, Medicare, Social Security)
You can also list other benefits, without a value, if you want those included. Examples like:
- Employee Assistance Programs
- Onsite gym
- Professional Development
- Licensing Costs/Fees
- CE Credit Reimbursement
- Onsite Child Care
- Paid Workout Time
- Healthy Snacks
Whatever perks and benefits you provide could be added to make you unique. Once your statements are prepared you could also change them up a bit to be used in the recruiting/hiring process. Why not let everyone know all the great things that await them if they would choose to work for your company?
Written by: Kelly Reed, Employee Benefits Team Lead