Employee retention is one of the biggest modern problems faced by business owners – even outside of the market trends that have created a national labor shortage. If you want to create a work environment where employees want to stay, you need to provide the benefits that they want. Here are a few that you can start with.
At first glance, offering unlimited paid time off may seem impossible! How can one maintain a business while also providing their employees with sick days and vacation days, completely devoid of concrete restrictions? As it turns out, unlimited PTO is entirely possible, and operates on the concept of creating a healthy work-life balance. You also will need to put a significantly higher effort to coordinate and communicate between company administration and the employees. Requiring employees to submit the days they want off a certain amount of time beforehand will be essential, so that other employees can be found to help pick up the slack.
Stocks are a simple but effective way to offer employees tangible assets that have the potential to be worth far more than what one might expect. Your startup’s status as a C-corporation (which is taxed separately from the owners) or an S-Corporation (where both are taxed as one entity) will affect your ability to give stock options and other uncommon benefits. S-Corporations tend to be less flexible. A C-corp allows you to offer equity to employees. This means that employees will not have to pay taxes for the given equity until they sell the stocks in question.
Core benefits should include paid leave for certain circumstances – maternity or paternity leave, etc. But other forms of paid leave can be beneficial as well, especially in a modern, evolving workplace. Mental wellness leave is one example of an accommodation that many employees would see as a huge advantage. Mental health, after all, has become one of the greatest blue-collar and white-collar challenges – personally and professionally. Sabbatical leave is also an option, giving employees time to develop themselves creatively or spiritually in a way that will benefit their skills and experience in the workplace.
Core benefits of retirement plans, pensions, or various forms of critical insurance are a must. But if you want to keep loyal, high-quality, hardworking employees, you need to invest in the fringe benefits that will push your startup above and beyond. The inter-workplace results will be well worth the investment!
Check out this article on the weak points your business needs to protect!