Bosses benefit from happy staff - 03/2001

The employment boom has prompted a crisis in companies who are struggling to hold on to valued staff according to Insurety, one of the UKs providers of income protection and healthcare plans.

With fewer than four per cent of the population out of work, there is less competition for jobs and workers who aren't happy in their current positions are finding it easier to find alternative employment.

This is good news for the workforce, but means companies are having to approach the issue of staffing in new and creative ways, says Insurety. The value of a good employee is becoming increasingly important. As every personnel officer knows, it is far less costly to keep a worker, than to recruit and train a replacement.

However, wage growth has consistently remained below the 4.5 per cent pace with which British workers are comfortable which means the contents of the wage packet certainly aren't the only carrot used to encourage staff to stay where they are.

Workers are more aware of the value of a good and happy working environment, and survey after survey has shown that the number one reason why people start looking around for alternative employment is because they feel undervalued and unappreciated.

So how can companies set about showing their staff how much they value them, without resorting to hefty pay rises?

David Abingdon, managing director of Insurety, believes bosses should take advantage of ways of providing extra benefits to staff at no extra cost to the company.

Employers are finding it more difficult to provide the kinds of benefits which will help attract and retain talented staff, said Mr Abingdon.

We identified this problem, and have come up with a solution which simultaneously makes staff feel valued and protected yet which doesn't cost the employer anything at all.

Insurety has designed a benefits package called 'Options', which complements existing corporate programmes.

Highly trained benefits advisers work on a one-to-one basis with employees to review the company's existing benefits, a useful exercise in itself as many staff are unaware of all their entitlements.

This part of the programme looks at benefits such as holiday pay, statutory sick pay, parental leave, maternity pay and so on, giving staff the chance to find out exactly what the employer is doing for them.

The advisers then identify which other benefits the employee needs to provide him or herself with a flexible package tailored exactly to their requirements.

These include items such as income protection benefit for staff unable to work due to accident or illness, critical illness benefit, private medical care benefit, and even routine healthcare benefit.

www.insurety.com