There has been a long-standing debate in the recruitment sector about what is considered more important - the pay companies are offering their employees, or the benefits package being offered to their workforce.
Understandably, employers have often placed their focus predominantly on salaries for their employees. Not only will this help companies keep an eye on their overhead spend, but historically this was the main priority from a candidate perspective, too.
But times are changing.
Now, candidates are looking to understand a lot more about what potential employers are offering, from their range of benefits to the sustainability of the company, and their commitment to equality, diversity and inclusion - as just a few examples.
Pay and benefits are now among the three most important elements of an employer brand
A recent CIPD report, presenting the results of a poll of 1,055 HR people professionals, found that solely increasing pay was not enough to attract or retain talent in the current climate.
The results also stated that 69% of the employers surveyed advertised at least some of their jobs as open to flexible working, demonstrating the importance of allowing employees to have more control over their working location and hours.
And, among those who had recruited within the last year, 30% reported that advertising jobs as “open to flexible working” was the most effective recruitment strategy when looking to attract candidates.
Claire McCartney, senior resourcing inclusion adviser at the CIPD, said that businesses “shouldn’t simply focus on pay”, but alternatively consider advertising roles as flexible. She also stated that offering remote and hybrid working options where possible would be beneficial for employers looking to “strengthen their attraction and retention offering”.
What kind of benefits should employers be offering?
According to Sara Frith, Scantec’s Divisional Director & Executive Search Consultant for our FMCG Manufacturing Divisions the range of benefits offered to employees is dependent on many factors, mainly focused around budget.
“More businesses are offering hybrid working as a prioritised benefit for their workforce, along with the likes of wellbeing support such as gym memberships, mental health support and social events to boost morale.
As an employer of a developing team with an increasing number of employees, Scantec reviews and updates its benefits package regularly. Our recently updated benefits include an extra £150 per month per employee to help with the cost of living, and hybrid working options for all employees.”
Our consultants that work in Engineering, Scientific, Manufacturing and Technical Sectors have found that the following benefits are the most attractive our clients can offer:
- Hybrid/flexible working
- Pension scheme
- Healthcare
- Offer contract workers the additional option to work outside of IR35
Updating benefits packages for employees and new hires
If your organisation is looking to update its benefits package, the best place to start would be analysing feedback from your existing workforce.
Send out a survey for people to submit anonymous feedback and ask people to rank their benefits in priority order, and suggest new benefits for the company to consider. This way, you’ll be able to assess what is most important to your overall workforce, as well as what the business can afford to offer.
Looking for more guidance in your hiring process?
If you are currently hiring and would like further advice on how best to position yourself as an employer of choice to your potential employees, get in touch with Scantec today to discuss our recruitment services.
