Employee Perks – The New Landscape
The new normal has posed challenges but it has shown us some upsides too. Employees have more flexibility to align their work schedules. Location and relocation will not be another concern for out-of-station employees currently. Employees will have the option of opting for a better work-life balance.
Covid has made organizations re-assess their benefits portfolio across the globe. Companies will now f ocus more on employee health and safety and there will be a shift from wellness to the wellbeing of the employees. Lockdown has also caused a shift in the way organizations and employees look at mental health and this will also be among one of the priorities in the overall benefits package. The perceived value of EAP’s (employee assistance programs) is also expected to increase.
Kiran says companies are expected to move towards a hybrid workplace model where employees will have more flexibility on remote work options. “It will certainly have an impact on the leave policies of the organizations. With more acceptance of the digital mode of absorption, the perceived value of benefits such as telemedicine and other re-engagement activities will certainly increase,” she adds.
According to Nagina, psychological safety ranks on top in the new normal. Employee perks and benefits that lend social and psychological safety net to employees are more crucial than ever. Benefits like the Employee Assistance Program, emergency aid services like 24 Response App and health-related benefits for employees and family - like vaccination, health check-ups, etc, will see an increasing trend in usage, she says adding: “Employee perks with dependencies on a physical presence like onsite creches, onsite gyms, etc, will see a downward trend.”
Says Manisha: “Looking at it holistically, we think that organizations must invest more in the overall wellness dimensions of their employees and hence boost allowances and benefits related to mental and physical health. Having a futuristic view is critical and investing in capability building and hence extending allowance and perks around skill-building should be the approach.”
With a large proportion of employees still working from home and the demands changing in the light of the pandemic, work perks may change to suit the new needs. This change in the definition of perks will also play a huge role in keeping the existing workforce engaged and attracting new talents. It is therefore imperative for businesses to prioritize which perks they would continue to offer to employees without impacting their current CTC.
Meenaa explains that the pandemic has compelled businesses to enforce flexible work hours and extended leave for the entire workforce, which were earlier counted as perks and allowed only as special privileges. Besides the existing benefits, organizations must also look at providing extended vacation balanced with the employee working hours, setting up well-being and performance platforms for managing stress and allowing more casual attire to work. Frequent and ongoing engagement with bots can help organizations gauge real-time engagement levels and the needs of their employees rather than conducting annual or bi-annual surveys. Companies must also rethink the perks they are currently offering to prepare for a future beyond covid-19.