Demand for top technology talent is high as the industry continues to flourish. In a fiercely competitive global hiring landscape, offering the right employee benefits package can help you gain the edge to attract top candidates.
What candidates want
An employee’s decision to work for one company over another is rarely just about salary. It’s about the whole experience - the type of work they will be doing, the opportunities for career progression, the company culture and working environment, and the perks they offer.
An enticing benefits package can be a game changer in winning over employees:
- Excellent compensation and benefits were the top priority for global candidates in 2022 (LinkedIn)
- 66% of employees say comprehensive benefits packages are a must-have when choosing a company to work for (MetLife)
- Employees who are satisfied with their benefits packages are two times more likely to report being satisfied with their jobs and 70% more likely to stay with their employer (MetLife)
If you can offer more generous benefits than your competitors, you'll be able to attract better candidates - and keep them around for longer.
Beyond statutory benefits
Every country requires employers to offer certain basic benefits to their employees, known as statutory benefits. Typical examples include enrollment in government healthcare plans, paid leave, pensions and workers' compensation.
But offering supplemental benefits is essential if you want to use benefits to give you a hiring edge in a challenging tech market.
Supplemental benefits go beyond statutory requirements and offer more comprehensive benefits for employees and their families. They may cover some of the same aspects as statutory benefits, such as paid time off and pension plans, but at higher coverage levels.
In addition, companies can also look to provide more unique benefits that are tailored specifically to their workforce. These may include flexible working policies, discounts on gym memberships and free lunch programs, as well as tuition funds or professional development opportunities that can help employees advance their skills and progress their careers.
6 employee benefits packages to attract top talent
1. Flexible and remote working opportunities
Flexible working has soared since the pandemic and is now a major factor in helping companies attract the best talent. Flexible schedules enable employees to work around other commitments, like childcare, health appointments and hobbies, allowing them to better manage their work-life balance and reduce stress and burnout.
Likewise, the ability to work remotely gives employees the freedom to choose where they want to work, whether from home, a local coffee shop or even an exciting location abroad. LinkedIn research from September 2022 found demand for remote jobs was much higher than the number of jobs available. Remote job postings made up just 14% of all US jobs posted on the social networking platform but got 52% of all US applications. In the UK, remote jobs accounted for 9% of all posts and got 20% of all applications.
If you’re not offering at least a little freedom in how and where people can work, candidates will likely opt for a company that does.
2. Paid time off
63% of employees say that work-life balance is a top priority when finding a new job, according to research by LinkedIn. Giving employees more paid time off is one way to improve that balance.
Some companies are giving employers more time off in the form of unlimited fully-paid holiday days. Employees can book as many holiday days as they want within the year. The company does not regulate it. However, employers must ensure team members take enough holidays to comply with employment law. In the UK, that's equivalent to 5.6 weeks a year and can include bank holidays.
Another way companies are committing to giving employees more time off is by adopting a four-day week. A new report revealed the world’s largest four-day week trial, held in the UK from June to December 2022, to be a resounding success:
- 92% of companies who participated in the trial decided to continue to the four-day week after the pilot
- 48% of employees reported being more satisfied with their job after the trial
- The number of staff leaving participating companies dropped by 57% over the trial period
3. Healthcare packages
Private healthcare insurance is one of the most common benefits that companies offer. It can cover anything from doctor’s appointments to hospital visits to routine surgeries. With the rising cost of healthcare and long NHS waiting times of great concern, healthcare is one of the benefits employees value most. It gives peace of mind to employees that they and their families will be cared for in the event of a wide range of medical situations.
Some companies also offer dental and vision support, which employees highly value. Likewise, life insurance is another attractive offer. As an employer, it’s relatively inexpensive to introduce, but it’s a big deal for employees to know their families will be looked after should the worst happen.
Employees who feel secure in their health coverage are more engaged and can focus on working hard.
4. Wellbeing packages
Wellbeing packages are becoming increasingly popular among employers as a way to attract and retain employees. These packages typically include a range of benefits and services aimed at improving employees' physical, mental, and emotional wellbeing.
Packages could include a variety of benefits, such as gym memberships, healthy snacks, free lunches, mindfulness programs, and mental health support services.
For example, some companies offer access to employee assistance programs (EAPs). EAPs enable employees to access professional support for issues such as depression and anxiety, substance abuse, workplace conflict, relationship problems, and even legal and financial challenges. Since the pandemic, there's been a notable rise in mental health challenges across the global workforce, and the rising cost of living is only putting more pressure on people.
By offering these packages, employers can demonstrate their commitment to the wellbeing of their workforce and create a more positive and supportive culture. This, in turn, can help boost employee morale and job satisfaction, leading to higher levels of productivity, engagement, and retention.
5. Pregnancy, maternity, and parental leave
Every country has to offer time off for pregnancy, maternity, and paternity leave. But the statutory benefits can often leave much to be desired. For some candidates, attractive maternity and paid parental leave policies can be a decisive factor.
Some companies offer maternity and parental leave packages that far exceed the statutory benefits. In the UK, statutory paternity leave allows employees to take up to two weeks of paid leave following the birth or adoption of a child. Some companies, like Netflix, have introduced an unlimited paid leave policy for any new parent that allows them to take off as much time as they want after having a child. Some also offer paid maternity leave beyond the statutory 90% of your salary for six weeks.
The number of companies offering family-building benefits, including assistance with fertility treatments, adoption, or fostering, is also on the rise. It's estimated that 800 large organisations around the world now offer such benefits – a 59% increase since 2019.
6. Personal and professional development programs
Personal and professional development programs allow employees to gain certifications, expand their skills and pursue a personal passion, all while working. Benefits like these can help companies attract talent by showing they’re committed to helping employees grow and succeed. At Monzo, for example, employees benefit from a £1k annual learning budget to support personal development.
Conclusion
Comprehensive employee benefits play a significant role in your ability to attract and retain the best candidates. Offering the right benefits helps you gain the hiring edge to stand out against competitors.
Benefits packages may include flexible working policies, paid time off, health and wellbeing packages, and development opportunities that enable employees to advance their skills and progress in their careers.
When developing a competitive benefits package, there's no one size fits all solution. Determining the right benefits package for your company requires thinking about your employees and the type of candidates you want to attract. It's also important to do your research. What are your competitors offering? If your benefits package doesn't at least match what others in your industry offer, you will lose the best tech talent to your competition.
