When it comes to being happy with your job, there are a variety of things that contribute. But according to a recent survey by the Society for Human Resource Management, benefits are ranked by employees among the top five things that are important for job satisfaction—even above compensation.
“This is a trend that has been going on for some time,” says Semiha Evren Esen, director of survey programs at SHRM. “Of course, compensation is always important, but 30 to 40 percent of the total compensation that employers provide to their employees is comprised of benefits, so it’s a good chunk.”
So it’s no surprise that companies are continuing to beef up their benefits, according to SHRM’s most recent employee benefits report. Within the last 12 months, one out of three companies has increased the number of benefits offered—possibly as a way to attract and retain employees.
“Companies aren’t able to really reward their employees that much with high salary increases,” Esen says. Benefits and performance bonuses, she says, offer another way to keep workers happy. The report found, for instance, that more companies (45%) are offering spot bonuses or awards to employees.
“Performance bonuses may be more effective than salary increases because you can really use your pool of money to reward those that are doing very well, and that in turn will help with better performance.”
One surprising change is a boost in various kinds of leave benefits. “We saw increases in paid sick leave plans, paid maternity leave, paid parental leave,” Esen says. “That stood out because there wasn’t really a major trigger for that change. Although there has been more talk this year of mandatory leave in the U.S. But I think it’s also a reflection of recognizing that leave is very important to employees.”
Wellness programs continue to be a big perk as well, offered by seven out of 10 companies, with another 8% planning to offer the benefit in the next 12 months. Nearly half of companies (46%) offer health and lifestyle coaching, 34% offer company-organized fitness challenges, 25% offer standing desks, and 21% have a fitness center.
“When people started doing wellness, it really was to hopefully have an impact on the bottom line of healthcare costs,” Esen says. “But it’s lead to higher employee engagement and helped to reduce employee turnover.”
There were also increases in companies offering retirement planning help. Almost half (48%) of companies offer retirement-preparation specific planning advice, and 53% offer one-on-one individual investment advice. “Over the past five to 10 years, employers were starting to move in the direction of letting employees make a lot of decisions,” Esen says. “We moved away from traditional pension plans to 401(k) plans and that requires employees to be involved in their retirement decisions.”
In addition to traditional kinds of benefits, some companies have branched out into very specific and somewhat uncommon perks. “A lot of times when you see those unusual benefits, it’s based on strategy where the company is looking at their employees to see what they really want,” Esen says. “Last year we asked about electric car charging stations. That one increased from 4 percent last year to 7 percent this year.”
Other quirky benefits include:
- Foreign language classes (5%)
- Gender reassignment surgery coverage (5%)
- On-site stress reduction program (5%)
- On-site vegetable garden (5%)
- Self-defense training (4%)
- Egg freezing for non-medical reasons (2%)
- On-site nap room (2%)
- On-site haircuts (2%)
- Prepared take-home meals (1%)
From: Forbes