Recent international surveys indicate that companies that provide good employee benefits are often seen as an attractive alternative to employers who pay higher salaries but fail to offer those benefits in their remuneration packages.
In the US, people in overwhelming numbers seem to prefer the additional value that employee benefits can bring. These preferences are evident when people are asked what it would take to accept a job offer from an employer who pay less, rather than a similar job from an employer offering more money.
One survey of 2,000 people showed that fully 88% of respondents said they would give ‘some consideration’ or ‘heavy consideration’ to choosing the lower-paying employer if it offered company health insurance including dental and vision care. Overall, women showed an even greater interest in this type of healthcare package than men.
The 88% figure of people seeking company health insurance is higher than for any other category of benefit they were asked to contemplate. Moreover, the clear majority in that group indicated that they would give ‘heavy consideration’ to the idea – indicating a higher level of enthusiasm for health insurance than for other types of employee benefits.
It is true that health care in the US is more expensive than elsewhere, but this fact alone does not alter the lesson from the survey results. The price of university tuition is also famously prohibitive in the US, but fewer than 50% of respondents said that either tuition assistance or student loan assistance could push them towards accepting work from the lower-paying company.
Americans also work long hours and enjoy few holidays, but flexibility in these areas nevertheless seemed less tempting to respondents than company health insurance. Even the opportunity to work from home had less of an impact than the ability to benefit from an employee healthcare package. The simple lesson to remember is that if your company doesn't have insurance among its employee benefits, you may miss out on important new hires.
Similar trends characterize the statistics on employee retention. A 2015 survey showed that 79% of existing employees would prefer new or additional benefits rather than a pay increase – with some subgroups, such as women (82%) and employees aged 18-34 (89%) showing even stronger levels of interest in benefits rather than higher pay. Health insurance was also the most popular form of employment benefits according to this survey.
Companies have other compelling reasons to offer their employees comprehensive medical care, even beyond its ability to bring in new candidates as well as keep them happy once they’ve joined. One is the fairly straightforward idea that companies have a direct interest in the health of their employees, as these are the people on whose work the company depends.
Another reason is slightly more subtle, but relevant nonetheless. One major source of anxiety across societies comes from the concern people have for their own health as well as the health of their loved ones. If competent and efficient work at your company depends on employees maintaining clear-headed focus on the task at hand, then removal of these worries can only have a positive effect on productivity.
To maintain a strong and effective workforce, your company should consider adding company health insurance to its list of employee benefits. Luma’s own range of group health insurance solutions are well suited for all types of employers in Thailand seeking quality service and support.