3 Tips for Creating a Fortune-500 Caliber Benefits Program
01 28 2021
Three years ago, we opened our doors at AspenHR to serve an unmet need in the market- an industry specific Professional Employer Organization (PEO). AspenHR has grown significantly in response to the high demand for PEO services from our clients and the overall market. Part of our success is due to our focus on creating Fortune 500-caliber benefits programs that attract and retain employees.
To create a Fortune-500 caliber benefits plan, companies must focus on the people first and profits second. With this philosophy, successful companies understand that investing in the right people and benefits increases profitability. Creating a high-commitment high-performance (HCHP) company naturally occurs when investments are made in their people:
“This brings to mind experiences with leaders of the most profitable organizations that I have observed. Almost to a person, they treat profit as a by-product of other things to which they devote most of their attention, things such as a focused strategy that delivers results to carefully-selected customers while pursuing policies and practices that leverage results over costs, hiring people with the right attitude (one that fits with the organization’s culture), and proper training and organization (often in teams). Financial targets are given no more or less emphasis than targets associated with employee and customer engagement, often by means of some kind of balanced scorecard. Rewards and recognition—whether based on the performance of the entire company, teams, or individuals—reflect this philosophy.”
– Is Profit as a “Direct Goal” Overrated? Jim Heskett, Working Knowledge. July 2, 2010
According to the MetLife Employee Benefits Trends study, Navigating Together: Supporting Employee Well-Being In Uncertain Times, a comprehensive benefits program is the #3 driver of holistic well-being. As employers address the COVID-19 pandemic, they must also address how their benefits can be critical to both the company and employees. Some additional findings from the study include:
- 25% of employees say financial wellness programs are a must have.
- 55% of employees want a vision plan.
- 41% of employees see disability insurance as a must have.
- 54% of employees see commuter benefits as nice to have.
PEOs can provide more than traditional health insurance benefits to companies that want to increase their profitability indirectly through people. When considering other benefits to offer your employees, we recommend starting with the following tips:
Conduct an employee survey. To understand what benefits your employees will appreciate and find value in, ask them. A survey serves three purposes; first, it provides your employees with a voice where their input matters and is beneficial for employee morale. Second, the survey points you in the direction of what benefits your employees would like you to offer. Third, provide employees the opportunity to describe what benefits they had at their former employer. Given that employees often work for multiple employers in the same industry over time, the survey can provide you with a competitive benefits overview.
Research your competition to understand whether your company is competitive in the local market and industry. Additionally, contact professional trade organizations your company belongs to as a source of reference for benefits information.
Partner with a PEO. A PEO can leverage scale to offer high-quality benefits to your employees at a lower cost to your company. PEOs source benefits and group other employers they service together to provide Fortune-500 caliber benefits to all of their client companies. In addition to retirement savings plans and health insurance, PEOs can source benefits such as Medical, Dental, Vision, Life, Disability, etc. to ensure your company stays competitive in its benefit offerings.
Contact us at AspenHR today to find out how we can help your company create a Fortune-500 caliber benefits program.