workforce wellbeing Archives

Sponsored by Abenity

Employee perks are like mom and apple pie. Who doesn’t love them? Still, employers may hesitate to invest in “extras” like perks programs in this shaky economy. But perks and discounts are much more than just a fun way to help employees feel special. They’re also a smart talent strategy.

Want proof? Here are several impressive statistics:

60% of job seekers told Glassdoor that perks are a big factor when they’re choosing to accept a job offer.

When companies prioritized employee engagement (including meaningful benefits and perks) 31% saw increased productivity, while 80% saw reduced turnover, according to Brandon Hall Research.

Perks Aren’t Just for Big Companies

You may be thinking only large-scale employers can afford to offer great employee perks. Or if you’re on a tight budget, you may think offering a complete program would be too costly. But actually, that’s not the case. If you check out this podcast conversation, I think you’ll be pleasantly surprised…

Meet Our Guest: Ben McIntyre

I’m excited to introduce you to Ben McIntyre, Client Success Manager at Abenity — an innovative employee perks and discounts company. Ben and his team help organizations of all sizes provide employees with meaningful savings that help stretch their earnings further. This means employees can afford more necessities and nice-to-haves, as well.

As a big fan of creative perks and benefits, I want to know more. So let’s dig in!

Why Employee Perks Matter

Welcome, Ben. Why are perks and benefits so important now, for employees and employers alike?

As prices continue to rise and employers look to the year ahead, they’re concerned that pay raises won’t be enough to help employees overcome inflation.

But perks can make a difference. They provide added purchasing power, both for things employees need to do, and for things they want to do more.

This crosses into financial wellbeing. But perks tie into other benefit areas as well. Physical wellbeing is an example. Some employers have had to cut back on subsidies for gym memberships and related benefits. But we have an entire health and wellness category that can touch physical and mental wellness.

An Innovative Approach to Perks

You have such a cool platform. I’d love to hear why your founders, Brian and Tim Roland, started this 15 years ago…

At the time, Brian worked for a cell phone service provider, offering employee discounts to large companies. And of course, he wasn’t the only one sharing exciting perks with these employers. But although HR teams appreciated it, they found it a burden to maintain accurate information and communicate with employees about all these perks.

So Brian and his brother built a platform where employers could centralize all their perks and discount offers in one place. It gave merchants and employees direct access to the platform, as well.

Over the years, we’ve expanded on that with our own network of national and local offers. And now, we have over 1 million redemption locations with savings in 12 categories.

Why Some Employers Hesitate

This seems like such an easy, low-cost way to show appreciation. What issues prevent companies from adding employee perks to their benefits package?

One of the biggest obstacles is probably the time people think it takes to offer great perks.

For example, we’re working with a large university that previously devoted a full team member to managing all of its perks. But now, almost all of that person’s time is available for other priorities.

What Undecided Employers Should Know

Right now, I’m sure many organizations are on the fence about investing in new benefit programs. What would you tell them?

No matter what size your organization may be, your employees will stretch their payroll dollars further than the cost of offering this benefit.

For instance, last week I was looking at the savings for a large healthcare provider we serve. Their employees saved $30,000 last year on Disneyland tickets! And that’s just one merchant out of thousands.

Plus this is really flexible. No matter what a person’s income and expenses may be, they always want to save money. And along the way, they want to feel special and appreciated.

Perks can help make that possible.

Learn More About Employee Perks

For more insights about how organizations can make the most of employee perks, listen to this full podcast episode. And be sure to subscribe to the #WorkTrends Podcast on Apple Podcasts or Stitcher.

You’ll also find tons of helpful resources on the Abenity blog.

And anytime you want to continue this conversation on social media, follow our #WorkTrends hashtag on Twitter, LinkedIn, and Instagram. Let’s talk!

The pandemic changed how we live and work in so many ways — not the least of which was the daily commute. But now, after years of working remotely, many employees are returning to the office at least a few days each week. That’s why employer-sponsored commuter benefits are on the rise again.

No matter what an employee’s work schedule may be, this kind of support eases the transition to onsite and hybrid work. It gives employees the flexibility to choose the transportation options they prefer. And by demonstrating a commitment to employee wellbeing, this kind of program also contributes to workforce recruiting and retention.

What Are Commuter Benefits?

Daily travel to and from the office can be a significant source of stress. Commuting can be time-consuming and expensive, especially if you drive your own car. Gas prices are hovering at an all-time high, and the cost of maintaining a vehicle adds up over time.

Commuter benefits are designed to help ease this financial burden. Plans typically include funds to cover public transportation costs and parking fees. These are pre-tax dollars employees can set aside to pay commuting costs, up to $300 a month in 2023.

Employers assign this money to a specific account for employee mass transit or parking expenses. And employees can contribute additional funds to both accounts if they elect to do so. Any unused funds carry forward from one month to the next, and employees can adjust or stop their elections anytime.

Why Offer Commuter Benefits?

There are many reasons to offer this kind of program. Let’s take a closer look:

1. It’s a Great Way to Attract and Retain Top Talent

In today’s competitive job market, employees prefer working for companies with comprehensive benefits packages. Flexible commuting plans can help improve the employee experience by demonstrating that you care about workforce wellbeing, no matter where people need to work or when they need to travel.

2. It Helps the Environment

This kind of program is ideal if your organization is committed to sustainability or formal ESG goals. Here’s why:

The Environmental Protection Agency (EPA) estimates that gas-powered transportation causes 28% of U.S. greenhouse gas emissions. Encouraging less fuel-intensive commuting methods can help you reduce the number of cars on the road as well as the level of emissions they produce.

You can provide incentives for employees who choose public transportation, such as transit pass subsidies or reduced parking fees. In addition, you can promote ride-sharing options, such as carpooling or vanpooling programs. And with the rise of lightweight electric scooters, bicycles, and mopeds, you can offer post-tax reimbursement for these alternatives, as well.

Ultimately, these efforts can help your company reduce its carbon footprint.

3. It’s a Smart Business Move

Commuter benefits help reduce your payroll taxes because your employees are saving money tax-free to cover their commuting costs. On average, these programs can save employers about $40 per person, per month. For a business with 50 employees enrolled in the program, that translates into savings of $24,000 a year.

Why Employees Love Commuter Benefits

There are several reasons employees also love this kind of program. For instance:

They gain better access to transportation options they prefer.
They can improve their local community and the global environment. Choosing mass transit — including ridesharing and cycling options — helps reduce traffic congestion and pollution.
It helps them save money. This is especially true for pre-tax commuter benefits because employees can set aside money before taxes are applied.
Participation is easy. Commuter benefit plan funds accrue monthly. Any unused balance automatically rolls forward. And there’s no year-end “use-it-or-lose-it” penalty. In addition, enrollment choices automatically renew each year until an employee requests a change.
With custom plans, employees can enjoy additional travel perks that typically aren’t included in standard commuter programs.

Beyond Covid: Supporting a Better Work Commute

Over the course of the pandemic, many members of the workforce grew accustomed to working from home. And before the virus threat faded, most people feared returning to an office environment, let alone commuting on public transit.

But now, for employers who are ready to move forward with a successful mix of onsite and remote work, this is the ideal time to rethink the transportation benefits you offer. A creative mix of pre-tax and post-tax options can help get employees back on the road and back to work whenever they need to be onsite.

Not only does this help ease the financial burden of commuting for existing employees, but it also shows prospective employees that your company is committed to the “greater good” by making work-related travel as environmentally responsible as possible.

Final Note

Providing a thoughtful commuter benefits plan is a win-win for both employers and employees, alike. Your employees save on transportation expenses, while your organization reaps the rewards of improved productivity and morale.

No doubt, investment in offering stronger commuter benefits is a wise strategy for any employer that wants to address the near-term interests of employees who need to return to the office. But ultimately, it’s an investment that can pay off over the long term with improved workforce productivity and engagement.

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Using Employee Perks to Beat Inflation