Employee Benefits Archives - Page 6 of 16

8 Unique Benefits Employers Are Offering to Attract Talent in Asia-Pacific

by admin | Sep 7, 2023 | Employee Benefits

If the so-called Great Resignation taught us anything, it’s that employees are looking for more than just a salary when it comes to their jobs. Employee benefits have a crucial part in enhancing engagement, attracting new employees, and retaining top talent.

Employee benefits refer to any form of compensation that employees receive in addition to their base wages or salaries, such as insurance (medical, dental, life), stock options, and cell phone plans.

During the recent State of HR in Asia-Pacific survey, it became clear that HR professionals are thinking more strategically about the benefits they offer employees. According to the survey, 35.52% of professionals are offering wellness benefits, while 34.15% have implemented employee assistance programs (EAPs). More than a quarter are offering childcare support (25.41%) and 24.04% include mental health coaching.

Nowadays, employee benefits extend far beyond these examples, encompassing a wide range of offerings, including training opportunities and stock options, mental health breaks, and even a few more unusual perks. Here are just a few:

Health Stipends

PwC Australia has always done things differently, including famously abolishing its employee dress code in 2017. The company partnered with health and fitness companies across the continent to offer compelling health and fitness perks to their staff.

“The well-being of our people is critical now, but the focus will continue to grow, and we’ll need to enhance the support provided. Employees are increasingly looking to their employer to provide support in all aspects of their life – we’ll need to continue to evolve our value proposition to meet these needs,” says Catherine Walsh, Head of People and Culture at PwC Australia.

Employee wellness programs are essential perks to offer because they prioritize the well-being and health of employees, leading to numerous benefits for both individuals and organizations. By providing wellness initiatives such as fitness programs, mental health support, healthy lifestyle resources, and stress management techniques, employers demonstrate their commitment to the overall well-being of their workforce. Wellness programs have also been known to reduce absenteeism and burnout.

Power Naps

The power nap system may seem unusual, but it’s commonplace in Japan. Called inemuri (or the principle of sleeping at work) was added as a perk by companies like the construction firm Okuta years ago. Japanese workers are generally hesitant to take time off, work more overtime than other countries, and generally get less sleep. Napping on the job has become commonplace, with several businesses installing special sleep pods for workers. Power naps can be a valuable employee perk due to their positive impact on productivity and well-being.

Offering dedicated spaces or designated break times for power naps recognizes the importance of rest and rejuvenation in maintaining optimal performance. Short periods of sleep have been shown to enhance cognitive function, memory, and creativity, allowing employees to return to their tasks with improved focus and alertness. Power naps can help combat midday fatigue, reducing the likelihood of errors and accidents.

Major Discounts

Australian airline Qantas offers staff generous perks when they are traveling, including 25% off Qantas flights, 10% off hotel bookings, 15% off car rentals, and discounts on airport parking, tours, and cruises. This not only attracts employees who love to travel but gives staff an opportunity to experience traveling with Qantas first-hand. In addition, by extending discounts on various travel-related expenses, Qantas demonstrates its commitment to supporting the travel experiences of its staff, creating a positive work environment, and promoting a culture of work-life balance.

Giving Back

According to a blog post by Salesforce Australia, 93% of employees who engage in pro-bono work feel happier and more purposeful, while 91% believe they are productive and engaged. The survey also found that employees who volunteer are 40% more likely to stay with the company. That’s why Salesforce Australia offers employees seven days off every year to spend volunteering. “It’s a great feeling to know that we’re helping the environment as well as the community. Plus, the benefits for the team were getting to know each other outside of work, building connections, and having fun,” says Angelica Veness, Senior Manager of Solution Engineering at Salesforce.

Sabbaticals

Deloitte Singapore introduced a generous sabbatical policy as part of their Work-Life Integration program. Audit and Assurance Associate at Deloitte Singapore Clement Chow took a 12-month sabbatical to care for his young son but had previously taken time off (with a paid allowance) to compete as a Team Singapore triathlete.

Deloitte Australia also introduced a program called Career Flex that allows staff to take three months’ unpaid leave to study, refresh, or travel.

Balance and Breaks

Most companies have maternity (and sometimes paternity) leave, family responsibility leave, and study leave on offer for employees who need it, but others are thinking differently about the breaks employees might need. Hime & Company in Japan gave staff two mornings off per year to attend sales as well as “heartbreak vacations” for employees going through breakups several years ago; today, it’s available from businesses in Japan, Germany, and other countries. The policy was popular enough to become part of Japan’s labor laws in 2020.

While those examples might sound unusual, recognizing that employees need time off to spend on personal matters can have a big impact on their well-being, engagement, and overall job satisfaction.

Chinese mega-brand Alibaba provided staff with an extremely generous leave package following a challenging period in the company, including giving employees seven days paid leave to attend family reunions following COVID, ten extra days of leave for new parents, and a once-off twenty days of leave for employees who have worked for the company for ten years or more. This is a true reflection of Alibaba’s company values, which states: “Work is for now, but life is forever. We want our employees to treat life seriously when they work and enjoy work as one enjoys life. We respect the work-life balance decisions of every individual.”

Stock Options

ICICI Bank in India is known for its generous employee benefits, but they’ve recently upped the ante by introducing an ESOP program (employee stock option scheme) for employees. The company allotted equity shares to employees under the ICICI Bank Employees Stock Option Scheme 2000.

Stock options give employees the opportunity to become partial owners of the company. This sense of ownership can foster a stronger connection and alignment between employees and the organization’s goals and performance. When employees have a stake in the company’s success, they are more likely to work towards its growth and profitability.

Four-day Workweek

Whereas some Japanese companies are offering naps on company time in response to their over-commitment to work, others are leaning into compressed work weeks. Panasonic started offering employees the option of taking a four-day workweek. Considering that only 8% of Japanese companies offer more than two guaranteed days of leave a week, it’s a radical policy.

With an extra day off each week, employees have more time for personal activities, hobbies, and spending quality time with family and friends. This improved work-life balance can lead to reduced stress levels, increased job satisfaction, and overall well-being.

While it may seem counterintuitive, many studies and real-world examples have shown that reducing the workweek to four days can actually boost productivity. With a shorter workweek, employees tend to be more focused, motivated, and efficient in completing their tasks. They often prioritize their work, avoid unnecessary distractions, and find innovative ways to increase productivity within the reduced timeframe.

According to recent research, more than three in every four Singaporeans are interested in jobs offering a four-day workweek.

“In mature economies like Singapore, it starts to become about the quality of life and what work means,” says Jaya Dass, MD of Randstad Singapore as reported by CNBC. According to Das, Singaporeans are not willing to sacrifice their personal lives for their careers anymore and find a four-day workweek very appealing.

Being a Standout Employer with Unique Benefits

The APAC region is a diverse and competitive market. Offering unique perks can help organizations stand out as attractive employers, attracting and retaining top talent. With some of these examples, we’ve seen how innovative perks related to work-life balance and well-being can resonate well with the local workforce. By offering interesting employee benefits, you can differentiate yourself, boost employee satisfaction, and gain a competitive edge in the talent market.

By Francesca Di Meglio

Originally posted on HR Exchange Network

Financial Safety Nets – Don’t Let Your Employees Slip Through the Cracks!

by admin | Jul 18, 2023 | Employee Benefits

In the wake of the Great Depression and WWII, employers started to add benefits packages. Healthcare had fallen by the wayside for families working to access the basic necessities of life. The idea was to support the employee’s personal needs while keeping and attracting the best talents in the workforce. This trend of offering benefits has continued into the 21st century. In the present era, most employees that join the workforce are Millennials (born between 1981-1996) and Generation Z (born between 1997-2012). Over half of them have said they want help building a more secure financial future. Over half of them have said they want help building a more secure financial future.

Employee benefits play a crucial role in providing financial safety nets for employees. When employees experience less financial stress, employers see better employee productivity and fewer work absences. To aid with financial guidance and resources, many employers are offering financial wellness benefits beyond typical retirement plans. Here are some common financial safety nets that may be included in employee benefit packages:

Retirement Plans: Employer-sponsored retirement plans, such as 401(k) or pension plans, enable employees to save for their post-employment years. These plans typically offer contributions from both the employer and employee, providing a safety net for financial stability during retirement.
Disability Insurance: Disability insurance provides income replacement if an employee becomes unable to work due to a disability. It helps protect against loss of income during an extended period of absence from work. More disabilities are caused by illness rather than injury – including common conditions like heart disease, back pain or arthritis.
Life Insurance: Life insurance offers financial protection to employees’ beneficiaries in the event of their death. It provides a lump sum payment or regular income to dependents, helping them cope with financial obligations.
Paid Time Off (PTO): Paid leave policies, such as vacation days, sick leave, and personal days, offer employees the flexibility to take time off while still receiving their regular pay. This benefit supports employees during times of illness, personal emergencies, or the need for work-life balance.
Flexible Spending Accounts (FSAs) or Health Savings Accounts (HSAs): FSAs and HSAs allow employees to set aside pre-tax dollars for qualified healthcare expenses or dependent care expenses. These accounts reduce the financial burden of medical or childcare costs.
Tuition Reimbursement or Assistance Programs: Realizing student loans burden many employees, a growing number of employers are willing to offer help. Employers may also offer educational assistance programs to help employees pursue further education or skill development.
Financial Education and Counseling: Employers may provide financial education programs and counseling services to help employees manage their finances effectively. Financial planning provides access to financial advisors who can help employees develop an overall financial plan including retirement savings and investing. Financial coaching helps employees manage their personal finances, such as budgeting and managing credit.
Employee Assistance Programs (EAP): EAPs offer confidential counseling, mental health support, and resources to employees and their families. These programs help employees address personal and work-related challenges and promote overall well-being.

It’s important to note that the specific benefits offered by employers can vary widely. When it comes to benefits, employers know the cost of providing the best options pays off with better talent and more productive workers. Ultimately, having some financial safety nets in place for employees helps workers achieve their financial goals and save more of their hard-earned money for both expected and unexpected expenses.

Benefits 101: What Is an EAP?

by admin | Jun 12, 2023 | Employee Benefits

As much as employers might prefer that employees’ personal affairs do not interfere with their work, the reality is that problems outside of the workplace can and do impact job performance. Many of these issues go unaddressed due to fear of stigmatization, leading to further declines in employee health and productivity. Anxiety and stress, financial troubles, substance abuse and other personal problems can also lead to increased absenteeism. To help combat these issues, many employers offer a workplace benefit called an Employee Assistance Program (EAP) that is designed to help employees address everyday challenges.

What is an EAP?

An EAP provides voluntary, confidential services to employees who need help managing personal difficulties or life challenges. The idea is to address personal issues before they interfere with work performance. The employee assistance program is one of the top benefits employers offer in America—for a good reason. They are one way that companies support the well-being of their employees. An EAP generally offers confidential assessment, short-term counseling, referrals and follow-up services for employees.

Typically, an EAP grants employees access to a set number of sessions with a therapist, and the employee would not accrue any co-pay, deductible, or other out-of-pocket costs for the service. For example, Nick has been struggling with depression. To sooth his anxiety, he has begun drinking every day. It’s gradually escalated to the point where he is late to work, has frequent absences, and is missing deadlines. He knows he needs to talk with someone who can offer him alcohol abuse resources. He accesses his company-sponsored EAP.

Meredith is a full-time, married employee with two small children and is also caring for her aging mother who suffers from Alzheimer’s. She is constantly stressed due to the heavy burden of her daily life. The schedule has left her exhausted and she misses work each month due to feeling burnt out. She reaches out to her EAP counselor for time management and mental health tips.

Here are some other common services included in EAPs:

One reason behind the popularity of EAPs is that it’s a mutually beneficial program for employers and employees. After all, your employees are the foundation of your company. Healthy and happy employees are more productive and engaged in their jobs which is great for your company’s bottom line!

What Is a Total Rewards Package?

by admin | Jun 5, 2023 | Employee Benefits, Human Resources

Total rewards packages refer to the compensation and benefits plans that companies offer. This phrase, however, extends beyond mere salary or wages and traditional benefits, like health insurance, to provide both recruits and employees with a rundown of what makes the employer special. Some in Human Resources might regard the total rewards package as the starting line for employee value proposition (EVP).

Here are the different components of a total rewards package:

Compensation

Compensation, which may refer to wages or salary, is the obvious main feature of the total rewards package. People get paid for their work, so they can afford housing, food, and the basic necessities of life. The money you’re paid to work may include the chance for bonuses and other merit-based rewards, in addition to salary or wages.

Basic Benefits

The most well-known benefits include health, vision, and dental insurance. People have come to expect some form of medical insurance for full-time employment in the United States. In fact, most rely on this benefit for their healthcare because private insurance is astronomically expensive without group membership, and the United States does not have a public option.

Retirement Plans

Offering 401(k) or IRA plans have also become the norm. Companies previously rewarded loyalty with pensions that could help people survive after employment ended. However, nowadays, pensions have been replaced by these other retirement plans, which rely on sometimes volatile markets. There are penalties for taking the money out of such accounts before retirement.

Paid Time Off (PTO)

Paid time off is not a given in every job. However, it refers to the time people are allowed to take vacation, recover from illness or injury, and celebrate holidays while still getting paid. This can include vacation days, sick days, and bank holidays.

Nowadays, some companies are getting creative with PTO. They may include shared days off, where the entire organization takes a break and gets paid. Or they might have unlimited PTO, which means people do not have to accrue or earn days based on seniority. Rather, they can take off when they need to without limit. In those cases, however, employers use an honor system to ensure people do not take advantage of the system.

Family Leave

This is key for new parents, those tending to loved ones who are ill or elderly, or those facing a longer-term illness themselves because they can take time off for care. However, family leave does not have to be paid. Approved family leave requires employers to hold the position for the person, but they do not have to be paid during that time off. It depends on whether they company offers pay for family leave. Many do pay for maternity leave for up to three months, and many others are offering paternity leave now, too. Assessing employment law is a necessity in these cases. And job applicants must do their due diligence when vetting potential employers if they think they may need leave at some point.

Learning and Development and Career Paths

Employees are seeking opportunities to learn, grow, and develop in their careers while on the job. Therefore, more employers are trying to offer training, classes, reimbursement for tuition or coursework, mentorship, leadership development, and other opportunities to gain skills necessary for raises and promotions. It will also help the individual and the employer remain relevant as the skills gap becomes more of a problem in the future of work.

Mental Health and Wellness Programs

For decades now, people have looked to their employers for gyms or gym membership. But now everyone is thinking beyond physical health to mental health as well. As a result, access to mental health help, employee assistance programs (EAPs), classes on mindfulness or yoga, apps for stress management, and more are on the table. Many employers are responding with a wealth of benefits related to wellness and well-being.

Free Food

Providing free lunches, snacks, or special occasion treats has been a hallmark of American companies. Many of the tech giants have campuses that provide services from dry cleaning to dental work, and free food in the cafeteria is a given. As employers try to convince people to return to the office in this post-pandemic era, they try to lure them with bagels or pizza or even other more gourmet options.

Work-Life Balance

Flexibility in where and/or when people work is going mainstream. As the gig economy gains steam, people expect to have more flexibility in their scheduling. Offering remote or hybrid work schedules, understanding when someone must pick up their kid from school or go to a doctor’s appointment, and allowing people to execute asynchronous work during off hours are benefits that impact work-life balance.

Ultimately, the total rewards package a company offers is the first sign of its relationship with employees. It tells the story of how talent is valued by an organization. It usually requires more than just money to satisfy recruits and employees.

By Francesca Di Meglio

Originally posted on HR Exchange Network

Benefits 101: What is an HSA?

by admin | May 30, 2023 | Employee Benefits, HSA/HRA

Are you the type of person who loves to save money? You’ll be happy to know that there’s a way to do so with your health care costs. It starts with medical expense accounts which let you set aside money to pay for certain health products and services. One type of medical expense account is a Health Savings Account (HSA).

How Does An HSA Work?

An HSA is a type of personal savings account you can use to pay certain health care costs. An HSA lets you pay for qualified health, dental and vision care costs for yourself, spouse and dependents with tax-free money. The money you contribute comes out of your paycheck – before taxes – and that is how you save to pay for your out-of-pocket health care expenses. Like a regular savings account, your HSA has an interest rate that allows your money to grow while sitting in the account. Your employer also has the option of contributing to your HSA, helping it to grow faster.

If you don’t use all of your HSA funds during the calendar year, you can roll that money over. An HSA is owned by you so you take it with you no matter if you change plans, change jobs or if you decide to retire. You will get a debit card which is linked to your HSA when you set up your account that you use to pay for eligible expenses.

You must be enrolled in a High Deductible Health Plan (HDHP) to open and contribute to an HSA. HDHPs medical plans aim to minimize your health care costs if you don’t use your plan a lot but keep you financially protected in cases of illness or emergency. Similar to a car insurance policy, you pay for your expenses up to the point that you meet your deductible and then the insurance coverage begins. The higher the deductible you choose, the smaller the monthly cost will be. But it also means that when you have health expenses, you are responsible for all of the costs up to your deductible amount. Rather than pay for your health expenses that occur before hitting your deductible out of your pocket, you can pay for those expenses using pre-tax dollars from your HSA account.

Federal law includes strict guidelines for HSAs including HDHP cost sharing and annual limits on contributions. The amount you contribute can be adjusted throughout the year but they do have an annual limit on how much you can contribute per year. This limit is set by the IRS and usually increases each year. Contribution limits for 2023 and 2024 are:

What Are the Benefits of Having an HSA?

Money goes in tax-free – Your HSA contributions are made on a pre-tax basis and are also tax deductible
Money comes out tax-free – Eligible healthcare purchases can be made directly from the HSA account
Earn interest, tax-free – The interest on HSA funds grows on a tax-free basis. Unlike most savings accounts, interest earned on an HSA is not considered taxable income when funds are used for eligible medical expenses.
Your HSA balance can be invested – Depending on your HSA, you may be eligible to invest your HSA similar to a 401k or IRA – in an interest-bearing account, mutual fund, stocks or bonds.
Your HSA balance can be carried over – Unlike a Flexible Spending Account (FSA), an HSA is not a use-it-or-lose-it account. You can carry over your balance year after year.
You can use your HSA to add to your retirement funds – After the age of 65, you can withdraw funds from your HSA for any reason without penalty.

The Bottom Line

HSAs are often referred to as triple tax-advantaged and are one of the best savings and investment tools available under the U.S. tax code. As a person ages, medical expenses tend to increase, particularly when reaching retirement age and beyond. Therefore, starting an HSA early and allowing it to accumulate over a long period, can contribute greatly to securing your financial future.

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