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Employee benefits

Benefits to unleash the power of your people

Employers all over the world are using employee benefits to drive employee engagement and attract, motivate and retain quality talent.

Flexible online benefits

An employee benefits scheme, also known as flexible benefits or online benefits, offers your employees the choice and flexibility to exchange their salary for the things that are important to them.

The great thing about employee benefits is that they are beneficial to both employees and employers, and the advantages of implementing employee benefits within your organisation are significant. Not only do they go a long way towards achieving your HR goals, but they also play a huge part in delivering your wider business strategy.

Employers offer employee benefits for a whole range of reasons, including:

  • To increase employee engagement
  • Tax and National Insurance efficiencies
  • Reinforce organisational culture and better positioning of your employer brand
  • Aid recruitment and retention
  • Streamline HR and payroll processes
  • To communicate and manage a merger
  • Harmonisation of changes in terms and conditions or policies
  • Coordinate international employees
  • Improve absenteeism and presenteeism
  • To hand over all benefit administration, reporting and employee queries

Benefits for employees

Not forgetting the whole host of benefits to employees, who can utilise what’s on offer to enhance their work/life balance, make fantastic savings, plan for the future and prepare for unexpected events.

Whilst employee benefits can be offered on a voluntary basis, meaning employees make selections, employers can also offer core benefits on top of an employee’s salary. These benefits are funded by the employer, and can be offered to all employees, or a selected segment. Core benefits can be provided at a set level, giving employees the opportunity to increase the level of cover for an extra cost to them.

Employee benefits can either be offered as a standalone feature, or to complement other elements of your scheme, including discounts and cashback, auto-enrolment and total reward statements.

A great employee benefit scheme will include something for everyone, such as:

  • A pension scheme
  • Life assurance
  • Private medical insurance
  • Holiday buy and sell
  • Technology purchase
  • Childcare vouchers
  • Cycle to work
  • And much more, depending on the demographics of your workforce

Salary sacrifice

Salary sacrifice benefits provide the chance for an employee to give up part of their salary in exchange for a non-cash benefit from their employer. In most cases, discounted purchase prices can also be achieved, as well as the ability to spread payment over a 12 month period. Salary sacrifice benefits include childcare vouchers, cycle to work schemes and cars.

If you’re unsure which benefits to include in your scheme, or you need a broker, Financial Conduct Authority regulated Benefex Financial Solutions can help.

RewardHub

Your employee benefits scheme will be delivered using our award-winning RewardHub technology. This means that everything you offer your employees can be found in one great place, with a user friendly interface and security arrangements that have been vetted by the Central Government.

Communications

According to research commissioned by income protection specialist, Unum, 64% of businesses with good employee benefits don’t do enough to tell their staff. As a result, they are no better off than companies that don’t provide the benefits at all.

The research goes on to state that "failing to tell staff about the benefits on offer is costing UK companies £2.7bn every year".

Communications are key to the success of your employee benefits scheme, and research conducted by Benefex shows that businesses that use three or more communications channels are benefiting from more than double the benefit take-up rates of business using one or two.

Employee support and administration

But communications aren’t the only fundamental element when it comes to an effective employee benefits scheme. Alongside running your employee benefits scheme, you can also leave the employee support and administration to our Employee Support Centre, who will work as an extension of your scheme to ensure everything runs smoothly.

If you’re looking to implement employee benefits at your organisation, download our guide to building the business case for online employee benefits, or take a look at how M&S offer employee benefits to their 70,000+ employees.

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