Employment practices tend to change based on current industry trends. In many industries, particularly manufacturing, the recent trend for employees has been to flock to whichever company can offer the best benefits. At times, this can even be at the personal expense of accepting less income. With increasing costs across the board, lateral movement among employers seems to be the best way for employees to get what they want out of their workplace. Unfortunately, that puts employers in a difficult spot. Employers want to keep their best people and prevent them from either being poached by other companies or leaving of their own accord.
Manufacturing companies face unique challenges in the marketplace. There is a scarcity when it comes to quality talent in the employment pool. Employees will often choose a lateral move, as seen in other industries, based on benefit plans and not base salary requirements. The age demographics in manufacturing are diverse, with younger new hires and older, more seasoned industry veterans. With tight margins and the need for a predictable cost structure for contracting and production, manufacturers cannot simply increase employee salaries to keep up with demand.
The solution to these issues is a better employee benefits plan. Not only will this type of plan help your company attract better talent, but it will also help you keep the valuable talent that you already employ.
Employees can see the value in these benefits and view it as part of their compensation package rather than as a personal cost. Additionally, it helps talent feel like they are valued within the organization, which will improve loyalty. Employee engagement and loyalty ultimately translates into customer satisfaction and loyalty, driving profitability and helping your company grow.
There are a number of options available for your group benefits plan:
- Life insurance
- Accidental death & dismemberment
- Short and long-term disability (income replacement)
- Critical illness
- Healthcare - prescription drugs (not covered by the province), professional services (acupuncture, naturopathy, massage, physio, chiropractic, etc.), vision, travel coverage, medical services and supplies
- Dental - basic, major and orthodontic
- EAP (employee assistance programs), which help employees through crises (mental, marital, workplace, financial, etc.)
At their core, group benefit plans are flexible enough to fit the needs of the company that they cover. One company might require a flex-care solution, for example, rather than a set plan design.
These types of benefits should not be viewed by your employees as a personal cost to them, but as a part of the total compensation that they are receiving for working for your company. This will keep talent coming to your door and wanting to continue working for you.
This article originally appeared in the Fall 2016 CapriCMW Risk & Business Magazine.
Ryan Wing is a Client Executive, Vice President at CapriCMW. He offers independent, professional advice to individuals, families and businesses on insurance, investment, estate and tax planning as well as group benefits and corporate financial planning. To find out how employee benefit plans could help your company attract and retain quality talent, contact Ryan at email@example.com or call 604 484 4992.