One part of the employee experience of working for a company is the benefit package and “total reward” is one of the newer concepts in defining the scope of what it is to work here.
Background – benefits; flexible, voluntary…
The recent employee benefits live exhibition was full of companies selling products, services and systems based around the concept of employee benefits. The “death and retirement” approach involving pensions and life assurance is giving way to a range of flexible or voluntary options, some of which have tax breaks attached. “Flexible benefits” wrappers with rules associated with spend benefit allowances, or arrangements where the employee can benefits from access to the discounted scheme but pay through payroll or via salary sacrifice are both increasingly popular. There are also voluntary benefits - numerous deals and discounts packages which can include discounts at high-street shops, hairdressers, holidays and computers.
Then there are the benefits associated with working for a company which cannot necessarily be priced, from the formal policies; the occupational sick pay policy, maternity polices, “wellness” schemes, and flexible working arrangements, to the more cultural aspects such as being able to browse the internet in lunch breaks, the provision of a wii in the staffroom or being able to play music in the office. Ad-hoc employee rewards, incentive schemes or idea/suggestion boxes or lucky-dips and a variety of vouchers can often be an extension of the bonus.
So what else is there?
What can employers do, particularly if there isn’t the budget to add 1% to the pension or implement a PMI scheme (and would employees really value this anyway)?
With an HR team keen to engage with the workforce, the key is communication. Talking to a union or employee representative body may be a good idea. Online survey tools can be useful or building a question into an existing employee survey could be the way forward.
The second thing is to be creative – what would your employees appreciate but won’t blow the budget?
One of the recent offerings has been with the provision of on-site massages – employers provide the room and booking facilities, employees pay to have the treatment. This idea could be extended to a range of other benefits:
- Creative workshops – jewellery making, chocolate creating, pottery, needlework, cookery classes, cake-decorating etc.
- Key skills – brush up on maths or English.
- Personal interest – local history, science, media, photography,
- Languages - a key skill in our increasingly global economy
- Music classes – a choir, instrumental or vocal tuition
- Dance and fitness – exercise classes
Employers can contact local colleges or adult education providers and negotiate a deal. The employer could provide the facilities and book employees into a course at lunch time or before or after office hours (or even during if flexible working hours are not an issue). The employees will need a facility to enrol on the course or courses – once these have been publicised of course!
Another area to explore would be charitable projects, raising money for a local charity is one way to support the local community, but what about organising practical help such as allowing employees to have a day (or week) to volunteer for their own charity?
Upon implementation – communicate!
If you are launching something new and exciting let the world know. Different media appeal to different people, emails can be a bit dry, a post on the intranet may be missed. Posters, booklets, payslip inserts all have a role to play but the personal touch is often the most effective. This could be a cascade via line managers, an HR-based presentation, a seminar or personal visit to each desk – whatever suits your workforce and resources.
Employee engagement is what it is all about so why not involve employees in the decisions and running of any courses offered? Some may know a local artist or instructor (or even be one!) who could run a session or series of courses. Simple feedback forms for each course can provide valuable insight into what works and what doesn’t. Social media may be the way forward; an employee blog or forum to discuss ideas or suggest improvements may lead to unexpected initiatives. Be prepared to refresh and review on a regular basis so the impetus doesn’t fade.
Finally, it may be worth speaking to your local tax office or tax adviser to check the tax position of any new benefit you plan to introduce.
Summary
In summary our “recipe” would be:
· Research - What is available? What is the appetite in the workforce for these activities? What would be the implications; Health and safely aspects and Tax rules?
· Implementation –What facilities are required? How would employees enrol or pay? Where and when would activities run?
· Review – what worked and what didn’t?
· Communication – throughout the project talk to employees, about the plans, suggestions, launch and also feedback on how it went, what could be improved for next time.
