Employee Perks Return Amid Fears of Poaching
Employers are bringing back employee perks that were eliminated or downgraded during the recession in attempt to deter competitors from poaching their top talent, concludes a survey released Tuesday.
Roughly 100 human-resources executives at firms of all sizes nationwide were polled in May via email by global outplacement consultancy Challenger, Gray & Christmas Inc. of Chicago. About 18 percent said their companies have restored all pre-recession perks and 41 percent have brought back some of those that were cut or eliminated. Nearly one quarter of respondents indicated that their firms had introduced entirely new perks reported The Wall Street Journal.
Small businesses may be particularly vulnerable to losing employees who greatly value perks given that their benefits budgets are typically limited in comparison with those of large companies.
The survey shows that 42 percent of respondents are growing more apprehensive about other companies luring away their best employees. Slightly less than half said the issue is always a concern, even in a down economy, while just 9 percent indicated that they aren’t worried about poaching.
When asked which benefit is most effective in retaining top talent, about 80 percent of respondents cited the performance-based bonus, followed by 70 percent who said a 401(k) with employer contributions is tops.
Other perks deemed highly effective for retention include vacation/personal time (49 percent), wellness-related benefits (43 percent), flexible schedules (40 percent), tuition reimbursement (27 percent) and telecommuting (25 percent).
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