One of the most effective ways companies can stand out today is by offering robust, flexible employee benefits plans. However, just having a benefits program is not enough. To ensure that benefits meet the evolving needs of employees and remain aligned with organizational goals, employers must regularly review and refresh their benefits offerings.
Why employee benefits matter.
Employee benefits are critical in employee satisfaction, retention, and overall company culture. Studies show that many employees prioritize benefits over salary, with health insurance, retirement plans, paid time off, and work-life balance initiatives topping the list. Well-crafted benefits plans can boost morale, increase productivity, and even serve as a powerful recruitment tool.
However, the needs and preferences of employees are constantly changing. What may have been considered a generous benefits plan a few years ago might now fall short of meeting the current needs of your workforce.
With the rise of remote and hybrid work, generational shifts, and changes in employee expectations, it’s more important than ever to assess and refresh benefits offerings.
Steps to review and refresh employee benefits.
1. Conduct employee surveys and gather feedback
The first step in reviewing and refreshing your benefits plans is to gather feedback directly from your employees. When designing surveys, ask questions like:
- Which benefits do you use most frequently?
- Are there any benefits you feel are missing or inadequate?
- How would you rate the overall value of our benefits plans?
- What work-life balance benefits are most important to you?
This feedback provides crucial insights into the evolving needs of your workforce and can help you tailor benefits to address current trends and concerns.
2. Analyze the competitive landscape
To remain competitive, understanding what benefits your peers or competitors offer is important. This doesn’t mean copying others’ strategies, but rather getting a sense of industry trends and standards. Benchmarking can help you identify areas where your offerings may be lacking compared to similar-sized organizations or others within your sector.
Take into consideration:
- Mental health and wellness programs
- Flexible work arrangements and remote work support
- Student loan repayment assistance
- Family and caregiving support
Being aware of these trends will ensure that your benefits plans remain attractive and align with the broader needs of the workforce.
3. Reassess health and wellness benefits
Health benefits are typically the cornerstone of any benefits plan. With healthcare costs continuing to rise and the increasing importance of mental health, it’s vital to revisit your health insurance offerings regularly. Are employees satisfied with their coverage? Are they fully aware of the benefits available to them?
Consider adding or expanding wellness programs that focus on mental, emotional, and physical well-being. Programs that promote stress management, mindfulness, and work-life balance are becoming essential in today’s fast-paced, high-stress work environment.
4. Ensure benefits are flexible and inclusive
A one-size-fits-all benefits plan is increasingly less effective as workforces become more diverse. Employees today have different needs based on their age, family situation and lifestyle preferences. Some may prioritize health insurance and retirement planning, while others may seek greater flexibility for work-life balance or assistance with childcare or eldercare.
By offering a mix of core and optional benefits, you can accommodate a broader range of employee needs.
The more tailored your benefits program, the more likely employees will feel valued and supported, which translates into higher job satisfaction and loyalty.
5. Evaluate paid time off (PTO) policies
Paid time off is another essential component of employee benefits. Employees value time off for vacations, personal health, or family matters. Offering a competitive PTO package can set you apart from other employers. Consider reviewing your current PTO policies to see if they align with employee preferences and expectations.
For example:
- Unlimited PTO: Some companies have started offering unlimited PTO to provide employees with greater flexibility.
- Mental health days: More companies are incorporating mental health days into their PTO packages, which allows employees to take time off specifically for mental health and well-being.
- Paid parental leave: Offering paid leave for both new mothers and fathers can foster greater equity and attract top talent.
6. Communicate benefits clearly
It’s not enough to offer great benefits—you need to communicate them effectively. Employees should fully understand what benefits are available, how to access them, and how they can take advantage of them. Make sure employees receive clear, concise, and easily accessible information about their benefits.
Regularly remind employees of new or updated benefits, as they may forget or overlook certain options. Also, ensure that employees are aware of how benefits can be customized to suit their individual needs.
7. Monitor and adjust regularly
Employee needs, market conditions, and regulatory environments change over time. Therefore, reviewing and refreshing benefits should not be a one-time event. Employers should establish a regular cadence—whether annually or bi-annually—to assess the benefits plans and make necessary adjustments. The end of the year or the beginning of the new year is a great time to reach out to your benefits advisors for a refresh.
It’s also important to track the effectiveness of any new benefits. Are employees utilizing them? Are these benefits leading to higher satisfaction and retention rates? You can use employee surveys, exit interviews, and HR analytics to measure the impact of changes to your benefits offerings.
Navy & Sage Benefits can help.
A strong employee benefits program is an investment in your workforce and a crucial part of building a successful and sustainable organization. By regularly reviewing and refreshing benefits offerings, employers can ensure they remain competitive, attract and retain top talent, and foster a positive, engaged workplace culture.
In today’s job market, benefits plans are a vital tool for building a loyal and motivated workforce. Regularly reassessing and updating benefits ensures that they continue to meet the diverse needs of your employees and support your long-term business goals. Reach out to Navy & Sage Benefits today to review your plans and customize them for 2025.
