Offering group health insurance is one of the biggest advantages you have for attracting talent and improving employee production and retention—especially in challenging times.
Here are the five biggest reasons you should offer employee benefits.
1. It’s what employees value
Health insurance is the top valued benefit by employees, according to a survey conducted by the American Institute of CPAs (AICPA) in 2018.
2. It gives you a competitive advantage in hiring
If employees are choosing between two jobs, they are more likely to join a company that offers health benefits with lower pay, than one that doesn’t but with higher pay.
Per the survey conducted by The Harris Poll, among the existing and potential workforce, when asked to choose between two jobs offers—one that included a base salary and benefits (healthcare insurance, two weeks paid vacation, and a 401(k) plan) and another that offered a base salary plus an additional 30% more salary, but no further benefits—these adults were four times as likely to choose the offer with benefits (80% vs. 20%).
2018 AICPA study “How well do Americans understand workplace benefits?”
3. It minimizes sick days
Illness-related lost productivity costs US employers $530 Billion a year.
4. It’s a good tax move
Premium contributions are pre-tax, and companies with more than 50 full-time employees have to pay a tax penalty for not providing health benefits.
5. It helps with retention
Employees are more likely to stay at their current job if they have great benefits.
56% of survey respondents say that health insurance impacts their choice to stay at their current job – “How much of an impact, if any, does the health insurance your job provides you have on your choice to stay at your current job?”
2018 AHIP survey “The Value of Employer-Provided Coverage”
As an employer, you’re in a position to help employees get great coverage that gives them access to care on their terms. Shop around and evaluate your options to ensure you’re providing the best plans for your staff.
