Virtually everyone understands how employee salaries, benefits, and bonuses work, but not so much about perks. Business and company employee work perks have been defined loosely from inception and this is a surprisingly serious issue.
Virtually everyone understands how employee salaries, benefits, and bonuses work, but not so much about perks. Business and company employee work perks have been defined loosely from inception and this is a surprisingly serious issue. This is as there’s no progress without a clear definition of perks. They are a component of a business or company’s culture rather than all of it. There are lots of benefits to offering employee perks in 2020 and beyond and this article lists the most salient ones.
1. Employees are happier and more productive
If the volume of press coverage accorded company perks indicates their impact in organizations, then they are truly transformative. While there isn’t much research devoted to them and the impact they have on businesses, ask all recruiters regarding conversations with potential employees and they will speak of the importance of providing them. If you look closely, you will notice that it isn’t about the perks but what they signify. They indicate a company’s desire and willingness to support its employees and their goals.
Certainly, all employees desire to be given pet insurance, free coffee, and in-office showers together with towel service. Nevertheless, what they actually want are more productive, happier, better, and balanced lives. The happiness of employees is most excellent for the bottom line of all organizations. Studies have verified that when employees are really happy, they are more than 20% more productive, and for public firms, it could end in a truly increased stock price. So, this is among the foremost advantages of work perks that businesses enjoy.
2. Perks attract, engage, as well as retain superstar talents
Clearly, the world is currently in a war of talents. Unemployment rates are at all-time lows in most regions, and the gap existing between available labour and that necessary for the completion of any job is rising rapidly. The two key factors are driving firms to do everything and anything they are capable of to attract, engage, as well as retain the topmost employees, and providing top company perks is a standard means that employers are using to accomplish both their hiring as well as retention goals. The reason for such considerable emphasis on quality talent is that: McKinsey discovered that topmost talent can be as much as eight times more productive.
3. They strengthen and reinforce a company’s values, purpose, and culture
For too long, perks have been included in firms without backing them with much strategic thought. They have slipped into some reactionary “we are providing yoga as everybody desires yoga” or “we should also offer ice coffee as everybody is doing so”. As HR attempts to become the leadership’s strategic partner, it’s crucial to zoom out of everyday operational focus and provide a strategic approach to perks that offers a truly competitive edge for your firm. Such perks will surely strengthen and reinforce the purpose, values, as well as the culture of your company or business.
Ultimately, before deciding on any employee work perks to be offered by your company or business, you must have an excellent idea of the goal you want to accomplish, and where it lands, so you enjoy these benefits.
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