Now, More Than Ever, Employers Need to Look to Their Voluntary Benefits

As an exceptional amount of people are making the decision to switch jobs in 2021, voluntary benefits have become more and more important for employers to offer.

The “Great Resignation”

In the fallout of the coronavirus pandemic, we are amidst what HR experts have termed the “Great Resignation,” a phenomenon in which abnormally high rates of people have quit their jobs in 2021, leaving many companies short-staffed and scrambling. Over 4 million people quit their job in July of 2021, and a record-breaking 10.9 million jobs were open too, according to the U.S. Bureau of Labor Statistics.¹

With the demand for employees at a high, employers, whether they need new hires or simply need to retain top talent, should look to their benefit offerings.

The driving force of the Great Resignation has been a renewed push by many in the workforce to find employment with a company that values their employees’ time, health, and wellness. The pandemic has shown many the importance of family time, work-life balance, and personal health. Many are prioritizing companies who treat their employees well and invest in their health and happiness. The companies who are retaining the most employees tend to be those who solicit and listen to employee feedback, look to improve employee wellness, and work with their employees to tackle the new challenges of a post-COVID-19 world.

Voluntary Benefits Help

With that in mind, voluntary benefits are coming to the forefront for employee must-haves and employer must-gets. Comprehensive benefit packages are tangible proof to incoming hires that their wellness is valued by the company—not just in words but in dollars too. The proof of voluntary benefits’ importance is in the numbers: BenefitsPro reports 75% of responding employees in 2021 said voluntary benefits would “affect their employer’s ability to retain them,” up 7% from the 68% who responded similarly in 2020. A more robust voluntary benefit offering doesn’t just help employees—it benefits employers too: according to BenefitsPro, such offerings will not just save employees money (63%) but also increase their work productivity (53%).²

Even Better: Make Sure to Explain Your Voluntary Benefits

For employers who do already offer robust voluntary benefits, or for those who are looking to onboard them, make sure you thoroughly explain these benefits to employees. A BenefitsPro survey found that only 54% of employees felt they had “an adequate understanding of the benefits available to them.”² Making sure employees have the know-how to maximize their benefits encourages a happier work environment for employees, where they can feel better supported and valued by their company.

While the fallout of the coronavirus pandemic has taught many people the value of their time and energy, the Great Resignation highlights for employers the importance of valuing their workforce—and showing it.

Sources:
1. https://hbr.org/2021/09/who-is-driving-the-great-resignation
2. https://www.benefitspro.com/2021/09/29/employers-respond-to-increased-demand-for-voluntary-benefits-increases/
3. https://www.benefitspro.com/2021/09/27/benefits-key-to-alleviating-employees-pandemic-stress/
4. https://www.benefitspro.com/2021/09/13/the-great-acceptance-or-great-resignation-two-sides-of-the-same-coin/