Employee benefits management involves designing benefits packages that promote employee satisfaction and a high level of performance, while also maintaining a low cost to the organization. Finding the right combination of benefits can be tricky, which is why organizations need to continuously evaluate how various benefits affect employee retention and performance.
To design the best benefits packages, employers should consider what benefits are most valuable to their employees and prospective candidates, while also determining which benefits are feasible given the organization’s resources. Additionally, employers must ensure that their benefits packages at the very least meet the minimum requirements set by law.
Safeguards should also be put into place to protect an organization’s policies from abuse. Unscheduled absenteeism can cost up to an average of $602 per employee, per year, according to Sick Leave Abuse: a Chronic Workplace Ill? Indirect costs such as overtime pay for other employees, hiring temps, missed deadlines, lost sales, sinking morale and lower productivity can add up to 25 percent to the direct costs. In order to avoid these costs, organizations must find the root causes of the problems if they exist.
Just as an employer analyzes turnover, organizations should also look at sick leave trends. Doing so can help determine if sick leave is higher in one department, or under a particular supervisor, and if workplace policies and procedures affect absences.
Wellness programs are being used to help organizations make data driven decisions. This also empowers employees to see how their health decisions impacts premiums and deductibles. Many times, these programs provide incentives to employees which in turn help control rising premium costs for employers.
Logan County schools are using their wellness program to great success.