Although there is no legislation requiring employers to offer employee benefits, they can be a very effective component of your employees’ overall compensation package.
Benefits can include private health and dental insurance coverage, disability protection, and/or retirement options. Whether you are a small business or large corporation, it is important to know which benefits today’s employees value, as a competitive benefits package plays a key role in their attraction and retention.
In the CPA’s Employment and Retirement Benefits survey which examined 4,000 payroll practitioners throughout Canada, they found that the most popular employee benefits were:
- Health and dental insurance
- Group life insurance
- Training expenses and reimbursements
- Vehicle allowances
- Gifts and awards
Top 5 Benefits Employees Want to See from their Employer
1. Health and Dental Insurance
Everyone, regardless of age or health, has annual health and dental expenses. Therefore, offering this type of coverage for your employees is extremely valuable for the vast majority of employees. It is no surprise that health and dental plans are the top benefits offered by Canadian companies. While Canadian government plans can cover up to 70 percent of an average Canadian’s health care expenses, the remaining gap is one that employees expect their employer to help with. Individual health care plans can be costly and restrictive, while employer offered group plans provide better coverage at a lower cost.
Extended Health Care plans are often bought in conjunction with a Dental plan. There have been numerous reports indicating that many health problems and illnesses are the result of poor dental health, says the Mayo Clinic. Therefore, adding a dental financing plan could be highly beneficial for companies and their employees’ health and productivity.
2. Group Life Insurance
Providing for their family even after death is something that everyone would like to be able to do. That is why employees appreciate companies with group life insurance policies. These policies protect the employee in the event of a death or dismemberment event. The basic coverage is based on an employee’s salary – for example, the family may receive two times the employee’s annual salary in the unfortunate event of their death.
3. Training Expense Coverage and Reimbursement
When you allow an employee to further their career by investing in their development, they are more likely to remain with their company. Training expense coverage, including payments for the classes as well as travel expenses, can be a key strategy in succession planning as well as a great way to retain top talent.
In the CPA’s Employment and Retirement Benefits survey, training expenses related to the job ranked third out of the top 10 benefits.
4. Vehicle Allowances
Reimbursing an employee for mileage they accumulate commuting to and from work, or to run errands for the company in a personal vehicle, is also a much-desired benefit. It motivates employees to go above and beyond for the company.
5. Gifts and Awards
Rewarding employees for workplace culture or performance bonuses will motivate them to work harder and continue to support the company. Whether you award them with a cash prize or extra paid time off, these benefits are something that today’s employee truly values.
To find out which benefits are right for your company, contact your Advisor or call us at 1-866-361-2998 to speak with one of our experience Benefits Consultants for a customized quote.