How to reward employees in an employee driven jobs market.
The CSO figures for April 2017 show the unemployment rate in Ireland is 6.2%. With a tightening labour market, employers are finding it increasingly more difficult to attract and retain the right employees. Reward structures over and above basic salary are becoming more of a significant factor in employee decisions to move jobs. Many companies are now realising that to attract and retain top quality employees they need to have a competitive edge and to provide employees with the resources to build a happy and financially secure life.
Look after their future.
By ensuring that your employees are included in a pension arrangement and that they understand the future value of that pension arrangement, your employees will not only save tax but they will know that you are interested in their longer term well being.
Protect their families.
Increasingly employers are including life assurance cover and disability benefits in their reward structures. The disability benefits protect the employee’s income if the employee can not work due to illness or disability and the life assurance cover protects the employee’s family in the event of their untimely death. Arrangements can be cost effective, employer premiums can be offset against corporation tax and there is no benefit in kind (BIK) for employees. In addition arrangements can offer a level of cover which does not require medical underwriting.
Provide peace of mind about their finances.
Employee wellness surveys indicate that employees are often more stressed about their financial situation than any other issue. Providing an on site financial planning clinic has been proven to help employees manage their personal finances. With this peace of mind comes an increased focus on their job. It is also one of the best ways to get employees to engage with their own pension planning to ensure that they have the financial resources to retire at the end of their employment contact.
Specialised benefits for key employees.
Pensions are often one of the largest and most complex investments an employee may hold. For higher earners who want to make larger contributions an Executive Pension Plan (EPP) or Small Self Administered Pension (SSAP) may provide a more tax efficient solution. They also offer greater investment options such as property, private equity and international equity funds. Our bespoke financial planning service is designed to support your key executives at every stage of their financial future and help them take control of their financial affairs.
Regularly review your reward structures.
For employers it is important to regularly review your reward structures. Insurance companies regularly change their cost structures and product offerings. By not keeping an eye on the market your company could end up paying too much. A regular review of your pension and risk benefits will ensure that you are getting the best value for money for both the firm and your employees.
Harvest’s range and depth of experience in this sector, along with our independence means we can offer you a more holistic approach to employee benefits solutions. Our Employee Benefit Solutions team provide strategic advice and brokerage services that can help you optimise your reward structures and maximise employee engagement.
Talk to us today about employee benefit solutions that can give you a competitive edge when attracting and retaining employees, and to provide employees with the resources to build a happy and financially secure life.