What are Employee Benefits? Importance Of Employee Benefits

Employee benefits can be understood as the additional perks that businesses offer to their employees over and above their regular salary.

Employees in a company look out for extra benefits in every company so that they can have a great time working in the place. Different companies even offer such benefits to the employees in terms of both cash and kind.

So, what are employee benefits actually?

These are not the salary that the employee gets at the end of the month.

The other benefits apart from the salary are known as the employee benefits from the organization. There can be a huge number of such benefit options available that are provided by different organizations to the employees.

Such benefits can include medical insurance, overtime pay, profit sharing, retirement plans, paid vacations, sick leave, transportation costs, disability insurance, etc

Let us have a close look at the popularity of some of the employee benefits

Various Employee Benefits Options Available

There can be a number of employee benefits that the organizations can provide their employees. Here is a list of a few of the benefits that the organizations make their employees enjoy.

1) Available Leaves from Work

Apart from the weekends or the weekly off days, and the national holidays, the employees are entitled to a number of paid off days throughout the year. The employees can take such leaves from time to time whenever they need it for their personal reasons.

2) Bonuses

There are a number of companies that offer bonuses for their employees on various occasions. This can be for different festivals such as Christmas or can be also once in a year that is known as the performance bonus.

3) Salary Increment

Employees often look forward to such benefits such as salary increments that mean they can get a hike on their salary once in a year. The hike percentage and the availability of the hike entirely depend on the performance of the employee.

4) Hike In Position

Apart from the salary hike, the employees also are entitled to a hike in the position. This is a much bigger benefit and hence this is judged hugely on the performance graph of the employee along with other factors in the company of the department.

5) Medical Facilities

The organizations should take care of the health of the employees. Hence, they make sure to take care of the health of the employees. There are a number of medical benefits that the employees are entitled to such as medical insurance, reimbursement of the medical expenses, and many others.

Apart from these basic benefits, there are also many other benefits that the employees get from time to time from the employer. There are many employers that take extra care of the employees and provide some extra options such as a baby care option for the new mothers, holidays for the best employees, and many others.

Let us have a look at those benefits as well-

• Profit Sharing
• Disability Income Protection
• Long Term Care
• Pension
• Retirement Benefits
• Daycare
• Parental Leave
• Dependent Care
• Education
• Housing
• Time Off
• Commuting Allowance
• Travel
• Relocation Assistance
• Events
• Entertainment
• Business Expenses
• Memberships
• Food and Beverages
• Employee Assistance Programs
• Legal Assistance Plans
• Free or Discounted Access to Company’s products and services
• Generous Working Conditions such as flexible working hrs

Now the questions arise how these benefits can help a business?

Ultimately, by using these, you will be offering a better environment and mental state to work, that will ensure better dedication from your employees. Hence, their productivity will increase that will help in increasing revenues as well.

Let us unravel some of the key benefits that you are going to get by implementing aforestated employee benefits-

Importance of Employee Benefits

A number of organizations believe that such employee benefits can actually help the employees in a number of ways and in return, it helps the employers too.

Here is a list of ways how such benefits can be beneficial to the employers along with the employees.

1) Productive Employees

Employees are the assets of the company and hence it is very important to take care of them properly. It has been many times noticed that when the employers over pressurize the employees and they are not properly taken care of, there are instances of employee burnout that can actually hamper the productivity and also the environment of the office at times.

Hence, it is important that the employers pay special attention to its employees and provide them with some extra benefits so that they can enjoy working at the office.

2) Motivating The Employee

It is not only that these benefits are required just to keep away from employee burnout from the workplace.  These benefits are highly useful for the employees in some other ways too.

The extra paid leaves can enable them to take care of their personal responsibilities and similarly, the other benefits are useful in a number of other ways. These can be a motivational element for the employees that makes them feel happy and always boosted up.

A happy employee is always known to yield great results and highly productive than the ones who are not.

3) A Great Work Environment

The benefits are mainly provided to the employees so that they can stay motivated and full of confidence all the time. Such motivation and confidence always help the employees to work better and hence yield better results for the company.

Of course, when higher results are yielded and the companies gain good profits, they also celebrate success by providing more benefits to the candidates. With such high productive results from happy employees, it is always noticed that the environment of the workplace is maintained well.

There is always peace maintained and the employees can stay away from stress and pressure.

4) Higher Brand Recognition

One of the most important benefits of such employee benefits is that they are able to improve the recognition of the brands in a huge way. When the employees are happy with such benefits, they talk about it to other people outside the organization such as family and friends.

When employees talk about the good things of the work culture in an organization, people are more into believing them. When people outside know about the benefits offered to the employees in the organization, they get a good impression about the organization and number of people to wish to join the time in coming future.

Also, it has been noticed that when an organization is taking good care of its employees, they also the same care of their customers. Based on this theory, a high number of people gain a trust factor in such organizations and start having trust in the products and services provided by the company also.

Here is a video by Marketing91 on Employee Benefits.

Conclusion

A good organization is always known to pamper its employees and provide them with the best environment where they can get the best benefits.

There can be a number of benefits that an organization can offer the employees so that they can enjoy great working at the office. But the employee benefits not only offer happiness to the employees but they also offer benefits in some other ways to the employers also.

Having such an environment offers a happy working culture that can yield great results.

What do you think of aforestated employee benefits? Which one do you consider most motivational for an employee?

Share your views with us in the comments below.