Top 6 Best Employee Benefits To Provide In A Recession

With whispers of a recession from increased economic inflation, many hiring managers are considering their benefits packages when sourcing talent. Companies require happy, competent, and healthy team members to be successful, while team members want a stable income, job satisfaction and professional development. The Society of Human Resource Management (SHRM) study shows that the average cost of a new hire is $4,129 per employee. With a cost this high, knowing how to keep employees while still spending the money to do so, takes planning.

Considering both the hiring sides, here are our top six best employee benefits to provide in a recession.

1. Financial wellness program

What does your financial wellness program consist of? Some retirement planning, investing, and also ongoing financial education related to taxes, budgeting, student loans, debt management, estate planning, and saving for college. This financial education will help your team know how finances affect their families and how to have more stability with their money.

A good financial wellness program will help increase your employees satisfaction,” says Jeff Naugle, Co-Owner of Catalyst Career Group. “It also helps them reduce their stress associated with the economy and top headlines of the day. Easing your team’s stress means they will be a happier and more content worker.

2. Short-term employee loans

In the chance that a financial emergency does take place in your team’s personal life, do you have support through your company for them? With most employees living paycheck to paycheck, if they are in need, instead of turning to a high-interest-rate payday loan, consider how your company can help. You can offer low-interest short-term employee loans in this case. Monthly payment can be deducted directly from the employee’s paycheck and can help resolve immediate emergencies without long-term debt consequences.

3. Mental health benefits

Speaking of financial needs, most employees have shown in surveys that financial stress contributes to their mental health issues. These statistics are staggering. 45 percent of U.S. adults depressed about their finances. Other studies show even higher numbers, which is why nine out of 10 companies now offer some sort of mental health benefit. Mental health benefits include EAPs, mental-health insurance coverage, substance abuse treatment benefits, and stress management.

4. Integrated savings accounts and/or savings matching

Once of the best ways to overcome the stress of finances is to help your team save money through a savings account. Accounts can be tied to the employee’s retirement account with payroll deductions.

“This will help your team save for short-term and long-term needs at the same time,” says Jeff Straub, Co-Owner of Catalyst Career Group “Having an emergency fund helps your team eliminate the stress that goes into the unexpected.”

5. Wellness apps

While your company already offers health insurance, you can also offer wellness apps. These may include Castlight, Virgin Pulse, and WebMD. These help your team to develop both their physical and emotional habits.

6. Student loan repayment assistance

Have you considered supporting your team’s student loan payments? You can offer resources to help them refinance or you can do matching contributions to bring down their balance. A SCORE survey found that 75 percent of those who had student loans wished their employers would offer some sort of student loan repayment benefit or refinancing option. If you are looking to keep younger talent, loan repayment support is exactly what those in their 20s-40s are looking for today.

So what is your take? Would any or all of these six benefits help your organization retain and attract top talent? Studies think so and that makes it worth exploring. Consider for your self how your company can be better equipped to retain employees during a recession, which will lessen the negative impact of a weak economy.

Consider how you can beat inflation for your organization and hire the right people in the right positions at the right price point. Ask us about our virtual job fairs or private hiring events and what job descriptions will draw out the right candidates to help you be successful during this season! Contact Catalyst Career Group today.

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