Benefits And Rewards For Employee Benefits

1785 Words8 Pages
Employee benefits are an essential component of an organization’s total rewards strategy.
Today companies design benefits packages that are unique and rewarding in order to attract and retain talented workers. In fact, employee benefits have evolved significantly over the years. Employee benefits are no longer just the basics, such as healthcare and retirement plans. Organizations are now expanding their benefits and rewards offerings to include creative perquisites, such as onsite childcare, flexible work schedules, and employee game rooms. Employers understand that to gain a competitive advantage in the war for talent, they must create new and improved rewards for their employees. This paper will examine the innovative benefits and
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Innovative benefits are the solution to meet employee demands. Innovative benefits are any creative reward designed to provide employees with a special privilege, financial value, and/or personal advantage. Innovative benefits include many employee perquisites, such as onsite childcare, paid time off, employer-matched charitable donations, discounted gym memberships, and tuition assistance. Employees are attracted to organizations that create innovative benefits packages. Organizations are creating and adopting innovative benefits in order to improve their overall compensation strategies. Compensation strategy defines how an organization plans to reward its employees for their time and efforts. An effective compensation strategy enhances (1) talent management, (2) supports an organization’s business objectives, and (3) provides organizations with a return on their investment. Therefore, in order for innovative benefits to enhance the competitiveness of an organization’s overall compensation strategy, the benefits must align with these three goals. First, innovative benefits plans can give organizations a competitive advantage in recruiting, developing, and retaining talented workers. The war for talent in the workforce is becoming more competitive. According to researcher Tapomoy Deb (2005) “the
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