Innovations of Employee Benefits Essays

1876 Words8 Pages
The succeeding paragraphs will explain how innovations in employee benefits can improve the overall competitive compensation strategy of the organization. In order to maintain their competitive edge, companies need to fully understand that as the needs of their employee’s change, so does their benefit plans. Companies need to find innovative ways of engaging employees that encourage and support their commitment and improve their performance.
The first way is by helping the company to attract and retain talent. A company is only as good as its workforce so having an innovative benefit plan will help to attract high potential candidates and also retain them within the organization. McKeown, J. (2002) states that, “Effective retention begins
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The third way is to help the company to increase productivity. Employees can tend to lose focus on their work when they are having issues with their personal life. An innovative benefit plan can afford employees with the flexibility to handle these issues in order to give the employees more availability to concentrate on their work. This also causes employees to believe that their company cares for their overall wellbeing, creating loyalty amongst the employees which will in addition increases overall productivity, but retention as well.
The fourth way is to help the company increase employee commitment and engagement. In addition to increasing productivity, companies want to ensure that their employees are committed and engaged to the organization. This will produce employees that put more effort and take pride even in the smallest of tasks, employees that are constantly thinking of ways to better improve their productivity, and employees that motivate and inspire other employees that may have a negative attitude about the organization.
The fifth way is to help the company to reduce health care costs. The lack of control and employee has over their own job has been believed to lead to serious health conditions. Employers are coming to the realization that in order to get a handle on health care issues, they need to take a more active
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