Less than you might think.
In fact, according to a recent MetLife study, only 44% of small business employees feel loyal toward the company they worked for in 2010. That might not sound so bad, until you consider the fact that that number is down from 62% in 2008.
So why the drastic drop?
While there were a variety of reasons stated, the primary one was dissatisfaction with employee benefits. Approximately 50% of those surveyed who are not very satisfied with their benefits hoped to be working for another employer. On the other hand, 72% of those who were very satisfied with their benefits also felt a very strong sense of loyalty to their employer.
But, according to data gleaned from the survey, when it comes to benefits programs, it’s not necessarily about spending more in order to achieve more loyalty. It’s about optimizing your offerings, understanding your employees’ needs, and communicating openly and often.
Offering Non-Medical Benefits
The study showed that about half of the employees surveyed found it important to offer a comprehensive benefits program that included access to life, dental, and disability insurance, even if the employees themselves had to pay all of the costs. Wellness programs were another benefit that employees expressed serious interest in.
Understanding What’s Important to Your Employees
There seems to be a gap between what drives loyalty for employees and what employers think drives loyalty. For example, 38% of employers believe that retirement benefits are important loyalty drivers, while 64% of employees believe they are. Quite a difference!
What’s more is that in this economy, the stress of struggling with financial concerns has taken a toll on many employees, contributing to a rise in health-related costs and a decrease in employee productivity. As a result, 52% of employees reported being interested in receiving financial information and advice through a workplace education program.
Ramping Up Communication Efforts
According to the study, approximately 55% of all employees do not find their benefits materials to be clear and comprehensive. In addition, only about one in four were satisfied with their benefits communications. Among the changes employees wanted to see most were:
- Information available on the Internet
- More frequent communication
- Information tailored to life events
While changing the way you communicate about benefits may not seem like a major priority, it can have a big impact. In fact, it can be the difference between benefits that are clearly understood and valued, and benefits that are overlooked or underutilized.
The bottom line is that in this economy, employee loyalty is more important than ever – especially among your star performers. However, if you are experiencing more turnover than you’d like, Murray Resources is here to help. As one of Houston’s premier staffing firms, we can partner with you to not only attract and hire the best talent, but also develop strategies for reducing turnover and maintaining employee loyalty. Contact us to learn more.