Tailor Your Benefits to the Organizational Culture You Want
The COVID-19 pandemic significantly transformed the landscape of employee benefits, especially for remote workers. As Anna Lyons, Chief Talent Officer of Alegeus, highlighted in our recent interview, the number of people working remotely nearly tripled between 2019 and 2021. This shift prompted organizations to rethink their benefits packages to better support a remote and hybrid workforce.
“We are preparing for a benefits landscape for a future where there is no past,” Lyons remarked. With no historical precedent, companies must innovate to meet the evolving needs of their employees. A major focus has been on overall health and resilience, addressing issues such as “quiet quitting” and promoting a healthy organizational culture.
The Importance of Differentiation
Lyons emphasized that benefits play a crucial role in differentiating employers and attracting top talent. In an increasingly competitive job market, offering unique and tailored benefits can set an organization apart. This differentiation extends beyond traditional health and dental plans to include offerings that promote a healthier, more balanced lifestyle.
For example, Alegeus has focused on lifestyle benefits that offer employees choice and flexibility. Lyons noted, “Choice has become so critical in lifestyle programs,” enabling employees to customize their benefits to their unique needs. This flexibility has become a focal point as remote and hybrid work models continue to grow.
Balancing Employer and Employee Needs
The transition to hybrid work has presented challenges for many organizations, particularly when top leaders push for a return to the office. This has led to increased instances of “quiet quitting,” where employees do the bare minimum required. To counter this, Lyons suggests enhancing benefits to increase employee satisfaction and retention.
“Increasing choice and flexibility as it relates to benefits can lead to that potential balance,” Lyons explained. By providing personalized and convenient digital offerings, employers can compensate for the reduced physical flexibility of where employees work. Examples include access to yoga classes, nutrition counseling, and healthy groceries.
Customizing Benefits to Address Pain Points
One key strategy for retaining employees is to target benefits to their specific pain points. For many, the commute is a significant burden. Lyons recommends offering benefits that directly address these challenges, such as mileage reimbursement, dry cleaning allowances, and commuter benefits.
Lyons shared that Alegeus has been focusing on tax-advantaged benefit accounts to provide employees with more flexible spending options. These include health savings accounts (HSAs), flexible spending accounts (FSAs), and health reimbursement arrangements (HRAs). Additionally, they offer benefits like pet care insurance, ID theft protection, and student loan refinancing.
Crafting Benefits to Reflect Organizational Culture
The benefits a company offers can reflect its culture and priorities. For instance, offering fertility benefits and dinner perks may attract a younger workforce focused on family planning and socializing with colleagues. In contrast, providing ergonomic home office equipment signals a commitment to supporting remote work.
“Benefits are an opportunity to show what type of culture you’re creating,” Lyons noted. By tailoring benefits to align with the company’s values and the type of employees it wants to attract and retain, organizations can strengthen their culture and employee loyalty.
The Role of Benefits in Re-Recruiting Employees
As the labor market continues to evolve, Lyons believes that re-recruiting existing employees is more important than ever. “This is the time to re-recruit,” she emphasized. Benefits are a powerful tool in this process, as they are one of the largest investments companies make in their employees.
By continuously assessing and updating benefits to meet the changing needs of employees, organizations can ensure they remain attractive to top talent. Lyons advises companies to view benefits as a golden opportunity to reinforce their culture and demonstrate their commitment to employee well-being.
Conclusion
Tailoring benefits to align with the organizational culture you want to create is essential in today’s dynamic work environment. As remote and hybrid work become the norm, companies must innovate and adapt their benefits offerings to meet the evolving needs of their employees, and I always highlight the value of appropriate benefits as I help my clients overcome frustrations with implementing a hybrid work model. By providing choice, flexibility, and targeted benefits, organizations can enhance employee satisfaction, reduce attrition, and build a stronger, more resilient workforce. As Lyons highlighted, benefits are not just a cost but a strategic investment in the future of the organization.
Key Take-Away
To attract and retain top talent, companies must innovate employee benefits, prioritizing choice and flexibility that align with organizational culture and address the unique needs of remote and hybrid workers. Share on XImage credit: Andrea Piacquadio/pexels
Dr. Gleb Tsipursky was named “Office Whisperer” by The New York Times for helping leaders overcome frustrations with hybrid work and Generative AI. He serves as the CEO of the future-of-work consultancy Disaster Avoidance Experts. Dr. Gleb wrote seven best-selling books, and his two most recent ones are Returning to the Office and Leading Hybrid and Remote Teams and ChatGPT for Thought Leaders and Content Creators: Unlocking the Potential of Generative AI for Innovative and Effective Content Creation. His cutting-edge thought leadership was featured in over 650 articles and 550 interviews in Harvard Business Review, Inc. Magazine, USA Today, CBS News, Fox News, Time, Business Insider, Fortune, The New York Times, and elsewhere. His writing was translated into Chinese, Spanish, Russian, Polish, Korean, French, Vietnamese, German, and other languages. His expertise comes from over 20 years of consulting, coaching, and speaking and training for Fortune 500 companies from Aflac to Xerox. It also comes from over 15 years in academia as a behavioral scientist, with 8 years as a lecturer at UNC-Chapel Hill and 7 years as a professor at Ohio State. A proud Ukrainian American, Dr. Gleb lives in Columbus, Ohio.