{"id":3598,"date":"2024-07-01T12:01:03","date_gmt":"2024-07-01T11:01:03","guid":{"rendered":"https:\/\/rethinkq.adp.com\/?p=3598"},"modified":"2024-09-03T10:14:39","modified_gmt":"2024-09-03T09:14:39","slug":"debate-perks-and-benefits","status":"publish","type":"post","link":"https:\/\/rethinkq.adp.com\/debate-perks-and-benefits\/","title":{"rendered":"Are companies going overboard with perks and benefits?"},"content":{"rendered":"\n<header class=\"entry-header bg-adp-tan block--article-header alignfull block--article-header\" >\n\n  \n\n<figure class=\"wp-block-image size-full entry--image\"><img decoding=\"async\" width=\"1920\" height=\"1280\" src=\"https:\/\/rethinkq.adp.com\/wp-content\/uploads\/2024\/06\/laughing-young-woman-playing-table-tennis-with-a-colleague-on-an-office-table-during-a-break-from-work-RD7966.jpg\" alt=\"\" class=\"wp-image-3599\" srcset=\"https:\/\/rethinkq.adp.com\/wp-content\/uploads\/2024\/06\/laughing-young-woman-playing-table-tennis-with-a-colleague-on-an-office-table-during-a-break-from-work-RD7966.jpg 1920w, https:\/\/rethinkq.adp.com\/wp-content\/uploads\/2024\/06\/laughing-young-woman-playing-table-tennis-with-a-colleague-on-an-office-table-during-a-break-from-work-RD7966-300x200.jpg 300w, https:\/\/rethinkq.adp.com\/wp-content\/uploads\/2024\/06\/laughing-young-woman-playing-table-tennis-with-a-colleague-on-an-office-table-during-a-break-from-work-RD7966-1024x683.jpg 1024w, https:\/\/rethinkq.adp.com\/wp-content\/uploads\/2024\/06\/laughing-young-woman-playing-table-tennis-with-a-colleague-on-an-office-table-during-a-break-from-work-RD7966-768x512.jpg 768w, https:\/\/rethinkq.adp.com\/wp-content\/uploads\/2024\/06\/laughing-young-woman-playing-table-tennis-with-a-colleague-on-an-office-table-during-a-break-from-work-RD7966-50x33.jpg 50w, https:\/\/rethinkq.adp.com\/wp-content\/uploads\/2024\/06\/laughing-young-woman-playing-table-tennis-with-a-colleague-on-an-office-table-during-a-break-from-work-RD7966-1600x1067.jpg 1600w, https:\/\/rethinkq.adp.com\/wp-content\/uploads\/2024\/06\/laughing-young-woman-playing-table-tennis-with-a-colleague-on-an-office-table-during-a-break-from-work-RD7966-1536x1024.jpg 1536w, https:\/\/rethinkq.adp.com\/wp-content\/uploads\/2024\/06\/laughing-young-woman-playing-table-tennis-with-a-colleague-on-an-office-table-during-a-break-from-work-RD7966-375x250.jpg 375w\" sizes=\"(max-width: 1920px) 100vw, 1920px\" \/><\/figure>\n\n\n\n<div class=\"wp-block-group entry--title-wrapper\"><div class=\"wp-block-group__inner-container is-layout-flow wp-block-group-is-layout-flow\"><div class=\"entry--social-share\">\n  <ul>\n    <li><a href=\"https:\/\/www.facebook.com\/sharer\/sharer.php?u=https:\/\/rethinkq.adp.com\/debate-perks-and-benefits\/&#038;t=Are companies going overboard with perks and benefits?\" target=\"_blank\"><img decoding=\"async\" src=\"https:\/\/rethinkq.adp.com\/wp-content\/themes\/rethink-quarterly\/img\/facebook.svg\" alt=\"Facebook logo - click to share this article on Facebook\"><\/a><\/li>\n    <li><a href=\"http:\/\/twitter.com\/share?text=Are companies going overboard with perks and benefits?&#038;url=https:\/\/rethinkq.adp.com\/debate-perks-and-benefits\/\" target=\"_blank\"><img decoding=\"async\" src=\"https:\/\/rethinkq.adp.com\/wp-content\/themes\/rethink-quarterly\/img\/twitter.svg\" alt=\"Twitter logo - click to share this article on Twitter\"><\/a><\/li>\n    <li><a href=\"https:\/\/www.linkedin.com\/sharing\/share-offsite\/?url=https%3A%2F%2Frethinkq.adp.com%2Fdebate-perks-and-benefits%2F\" target=\"_blank\"><img decoding=\"async\" src=\"https:\/\/rethinkq.adp.com\/wp-content\/themes\/rethink-quarterly\/img\/linkedin.svg\" alt=\"LinkedIn logo - click to share this article on Facebook\"><\/a><\/li>\n  <\/ul>\n<\/div>\n\n          <span class=\"entry--tag tag-style\">Debate<\/span>\n    \n  <h1 class=\"entry-title\">Are companies going overboard with perks and benefits?<\/h1>\n\n\n<p class=\"is-style-summary-style\">Two experts debate what the future of perks and benefits should look like.<\/p>\n<\/div><\/div>\n\n\n  <div class=\"entry--meta content-width\">\n           <p class=\"authors\">By\n                        <a href=\"https:\/\/rethinkq.adp.com\/author\/zofia-bajorek\/\">Zofia Bajorek<\/a>\n\n             \n          and                <a href=\"https:\/\/rethinkq.adp.com\/author\/poonam-chopra\/\">Poonam Chopra<\/a>\n\n             \n         \n     <\/p>\n    \n  \n  <p>1 July 2024  <span class=\"desktop-only\">\u2014<\/span> <a href=\"https:\/\/rethinkq.adp.com\/issue-12-resilience\/\">Issue 12: Resilience<\/a> \n  <\/div><!-- .entry-meta -->\n\n<\/header><!-- .entry-header -->\n\t<div class=\"entry-content content-width\">\n\n\n\n<p>With Kombucha on tap in the office cafeteria, free massages during lunch breaks, and vouchers for services ranging from bike-sharing subscriptions to online therapy, some employers seem to be doing everything they can to win talent and bring employees back into the office. But are more and more perks the best way to attract and retain talent?&nbsp;<\/p>\n\n\n\n<div class=\"wp-block-columns alignwide columns--debate is-layout-flex wp-container-core-columns-is-layout-9d6595d7 wp-block-columns-is-layout-flex\">\n<div class=\"wp-block-column is-layout-flow wp-block-column-is-layout-flow\" style=\"flex-basis:50%\">\n<h2 class=\"wp-block-heading\">\u201cIn a cost-of-living crisis, free massages aren\u2019t going to do the trick.\u201d<\/h2>\n\n\n\n<h3 class=\"wp-block-heading\">Dr. Zofia Bajorek<\/h3>\n\n\n\n<p>Perks aren\u2019t necessarily going to bring employees back into the office.&nbsp; Over the past few years, many employees have realized they can be just as productive \u2014 if not more so \u2014 when working from home. With the additions of the cost-of-living crisis, monetary compensation such as increases in salary (as well as improved flexibility) may be the priority for people in the workforce anyway.<\/p>\n\n\n\n<p>Benefits are, of course, something that can attract people to a certain company, but what\u2019s ultimately going to make the difference and sustain talent retention is employee recognition, which can be expressed through their salary and the rewards you\u2019re giving people for the effort they\u2019re displaying. Ultimately, employees want to be valued for their work, recognized for their contributions, and given opportunities for advancement and growth. Evidence suggests that focusing on these good work practices has more long-term impact on well-being and organizational outputs than perks such as free yoga sessions.&nbsp;<\/p>\n\n\n\n<figure class=\"wp-block-pullquote\"><blockquote><p>People want to be heard, to be appreciated and to find meaning in their work.&nbsp;&nbsp;<\/p><\/blockquote><\/figure>\n\n\n\n<p>I believe we need to reframe what we mean when we say \u201cemployee benefits\u201d and what employers want to get from providing benefits. Employers need to take a holistic approach to work. This is really the key when it comes to employee retention and well-being. Giving employees the right resources so that they can do their job well, upskilling them, making sure their individual skills are used effectively in the workplace, congratulating them, paying them a competitive wage, and giving them a voice \u2014 I see these things as employee necessities. People want to be heard, they want to be appreciated, and they want to have meaning in their work. <\/p>\n\n\n\n<p>If organizations try to think a little bit more holistically about what they&#8217;re offering their staff in the first place, they\u2019ll be able to create a better working environment. If you&#8217;ve given somebody a good job to do, they will do a good job.<\/p>\n\n\n\n<p>Instead, what I sometimes see is companies offering perks and benefits they believe to be attractive to employees, but these may fall flat if they are not what employees want or need, and are not implemented well. There are many instances where employees aren\u2019t consulted about the benefits on offer, leading to dissatisfaction and frustration with their employer. For example, not everyone wants or will benefit from a gym membership, and head massages won\u2019t have any effect if managerial pressures and being constantly overworked are still part of someone\u2019s workday. Employees caring for young children or elderly relatives would probably prefer flexible leave and well-implemented and managed work-from-home policies instead of employee benefits they may not have time to engage with or benefit from.<\/p>\n\n\n\n<p>So employers are wasting resources by offering benefits that aren&#8217;t even what their employees want or need.<\/p>\n\n\n\n<p>Ultimately, it\u2019s about hearing what your employees are saying. I\u2019m not against perks per se, but they aren\u2019t the answer to everything when it comes to improving well-being, talent attraction and retention.&nbsp; Instead, employers should be thinking about what issues their employees might be facing \u2014 a cost of living crisis, a heightened need for work-life balance that emerged during the pandemic, a desire for meaningful work \u2014 and divert resources towards addressing that instead of offering complementary sound baths.<\/p>\n\n\n<div class=\"block--author\">      <div class=\"block-author__inner\">\n        <div class=\"author--image\">\n                      <a href=\"https:\/\/rethinkq.adp.com\/author\/zofia-bajorek\/\"><img decoding=\"async\" src=\"https:\/\/rethinkq.adp.com\/wp-content\/uploads\/2024\/06\/Zofia-Bajorek-298x305.png\" alt=\"\" \/><\/a>\n                  <\/div>\n        <div class=\"author--info\">\n                      <a href=\"https:\/\/rethinkq.adp.com\/author\/zofia-bajorek\/\" class=\"author--name\">Zofia Bajorek<\/a>\n\n          \n          <p>Zofia Bajorek is a Senior Research Fellow at the Institute for Employment Studies, where her work focuses on the health and well-being of the working-age population and \u201cgood work.\u201d Zofia has written a number of books and book chapters on these topics, and has been featured on HR Magazine\u2019s Most Influential Thinkers List for the past two years.<\/p>\n          <div class=\"block--author-social\"><ul class=\"author--socials\"><li><a href=\"https:\/\/www.linkedin.com\/in\/dr-zofia-bajorek-808ba470\/\" title=\"LinkedIn\" target=\"_blank\"><i class=\"fab fa-linkedin\"><\/i><\/a><\/li><li><a href=\"https:\/\/www.employment-studies.co.uk\/staff\/zofia-bajorek\" title=\"Author Website\" target=\"_blank\"><i class=\"fas fa-globe\"><\/i><\/a><\/li><\/ul><\/div>\n        <\/div>\n      <\/div>\n       <\/div><\/div>\n\n\n\n<div class=\"wp-block-column is-layout-flow wp-block-column-is-layout-flow\">\n<h2 class=\"wp-block-heading\">\u201cBenefits can create an experience competitors can\u2019t easily replicate.\u201d<\/h2>\n\n\n\n<h3 class=\"wp-block-heading\">Poonam Chopra<\/h3>\n\n\n\n<p>Finding that sweet spot between compensation and benefits is the true challenge. I think compensation is what gets people through the door, but it\u2019s the quality of the benefits that convinces people to stay. The experience that you create for your employees is what will differentiate you from competitors.<\/p>\n\n\n\n<p>From a strategic point of view, I believe in offering employees a chance to personalize their benefits and choose the perks that work best for them. Sure, you could do a 5% bonus or five additional days of leave. But your competitors can offer the same thing. Instead, if you offer a range of benefits that employees can pick and choose from, you\u2019re creating an experience that cannot easily be replicated elsewhere.&nbsp;<\/p>\n\n\n\n<p>This is going to be a true driver for retention, especially for new talent. They\u2019re not looking for run-of-the-mill benefits, they\u2019re looking for something that\u2019s tailored to their specific interests and needs. We call these people-centric rewards.&nbsp;<\/p>\n\n\n\n<p>Gone are the days when a company had one set of benefits and applied them to their entire workforce, regardless of gender, age or family status. Some people with children might prefer school fee reimbursements, while others who are caring for elderly parents may want more comprehensive medical insurance coverage. Young, single employees may find that they\u2019re more interested in gym memberships or additional paid vacation days. Wellness-conscious employees may appreciate free Pilates classes or meditation sessions.&nbsp;<\/p>\n\n\n\n<p>These are benefits that go beyond compensation and are hyper-personalized. Employees create their own \u201cwallet\u201d of benefits and trade off those that aren\u2019t as relevant to them in their current life stage.&nbsp;<\/p>\n\n\n\n<figure class=\"wp-block-pullquote\"><blockquote><p>These are benefits that go beyond compensation and are hyper-personalized.<\/p><\/blockquote><\/figure>\n\n\n\n<p>This goes back to what I was saying about creating experiences. This is an experience that someone else cannot replicate so easily because it comes with a lot of commitment and budgetary considerations. Some companies might say they don\u2019t have the budget to offer these kinds of personalized benefits, but it\u2019s not necessarily about spending more. Instead, it\u2019s about managing your existing budget to offer a higher ROI. You&#8217;re not spending more, you\u2019re just restructuring the benefits you do have and creating a wallet where employees trade down on benefits they don&#8217;t need and instead select those that best suit their current preferences and life stage.<\/p>\n\n\n\n<p>Some employers may be trying to use certain perks to lure employees back into the office, but I think this is another area where a more strategic approach is helpful. First, I think smart organizations have already caught on to the fact that there is an alternate way of working that doesn\u2019t include being in the office five days a week. But if there is a specific need to get people together in the same space, then it\u2019s key to provide employees with an experience that they can\u2019t replicate at home.&nbsp;<\/p>\n\n\n\n<p>Something that\u2019s worked for us, for example, is \u201cbring your kid to work\u201d days. People were so excited to bring their kids to work, to have that face-to-face interaction, and have children see where mom or dad work. Employees will remember these kinds of experiences and value them. <\/p>\n\n\n\n<p>So, yes, perks and benefits matter \u2014 it\u2019s just a matter of utilizing them strategically and focusing on personalization to deliver people-centric rewards.<\/p>\n\n\n<div class=\"block--author\">      <div class=\"block-author__inner\">\n        <div class=\"author--image\">\n                      <a href=\"https:\/\/rethinkq.adp.com\/author\/poonam-chopra\/\"><img decoding=\"async\" src=\"https:\/\/rethinkq.adp.com\/wp-content\/uploads\/2024\/06\/poonam-chopra-298x305.png\" alt=\"\" \/><\/a>\n                  <\/div>\n        <div class=\"author--info\">\n                      <a href=\"https:\/\/rethinkq.adp.com\/author\/poonam-chopra\/\" class=\"author--name\">Poonam Chopra<\/a>\n\n          \n          <p>Poonam Chopra is the Senior Director of Total Rewards for Africa, Middle East, and South Asia at PepsiCo, where she\u2019s been for over six years. She is the Lead of Total Rewards for Africa, overseeing about 13,000 employees across South Africa, Botswana, Nigeria and Ethiopia.<\/p>\n          <div class=\"block--author-social\"><ul class=\"author--socials\"><li><a href=\"https:\/\/www.linkedin.com\/in\/poonam-chopra-0439b74\/\" title=\"LinkedIn\" target=\"_blank\"><i class=\"fab fa-linkedin\"><\/i><\/a><\/li><\/ul><\/div>\n        <\/div>\n      <\/div>\n       <\/div><\/div>\n<\/div>\n\n\n\n<div class=\"wp-block-group alignfull gap-below--none has-background\" style=\"background-color:#121c4e\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<p class=\"has-text-align-center has-white-color has-text-color has-background has-large-font-size\" style=\"background-color:#7866ad00\">What do you think? Join the debate by <a href=\"mailto:grace@storythings.com?subject=Debate%20Issue%208\">letting us know your thoughts<\/a>.<\/p>\n<\/div><\/div>\n\n\n<div class=\"block--recommended-content alignwide is-style-bg-adp-tan\"><div class=\"block-recommended-content__inner\">\n\n<h2 class=\"wp-block-heading\">Read more<\/h2>\n\n\n<div class=\"block--article-pushpoint pushpoint__small\">      <div class=\"block-article-pushpoint__inner\">\n        <a href=\"https:\/\/rethinkq.adp.com\/debate-rightful-home-payroll\/\">\n        <div class=\"pushpoint--image\">\n          <img decoding=\"async\" src=\"https:\/\/rethinkq.adp.com\/wp-content\/uploads\/2024\/02\/business-people-reading-whiteboard-in-office-DRCG9B-1084x576.jpg\" alt=\"\" \/>\n        <\/div>\n        <div class=\"pushpoint--info\">\n                    <span class=\"pushpoint--title\">Does payroll belong in finance or HR?<\/span>\n          <p>Three experts sound off on the rightful place of payroll within an organization.<\/p>        <\/div>\n      <\/a><\/div> <\/div>\n\n<div class=\"block--article-pushpoint pushpoint__small\">      <div class=\"block-article-pushpoint__inner\">\n        <a href=\"https:\/\/rethinkq.adp.com\/debate-pay-gap-workers\/\">\n        <div class=\"pushpoint--image\">\n          <img decoding=\"async\" src=\"https:\/\/rethinkq.adp.com\/wp-content\/uploads\/2022\/12\/debate-1-1084x576.jpg\" alt=\"\" \/>\n        <\/div>\n        <div class=\"pushpoint--info\">\n                    <span class=\"pushpoint--title\">How will tech advances affect the skilled vs. unskilled pay gap?<\/span>\n          <p>Two experts debate the changing wage gap between skilled and unskilled workers.<\/p>        <\/div>\n      <\/a><\/div> <\/div>\n\n<div class=\"block--article-pushpoint pushpoint__small\">      <div class=\"block-article-pushpoint__inner\">\n        <a href=\"https:\/\/rethinkq.adp.com\/debate-universal-basic-income\/\">\n        <div class=\"pushpoint--image\">\n          <img decoding=\"async\" src=\"https:\/\/rethinkq.adp.com\/wp-content\/uploads\/2023\/12\/linus-nilsson-WfKndo8Vv7w-unsplash-1-1084x576.jpg\" alt=\"\" \/>\n        <\/div>\n        <div class=\"pushpoint--info\">\n                    <span class=\"pushpoint--title\">Does society trust workers enough for universal basic income?<\/span>\n          <p>Two experts sound off on whether people will want to keep working if universal basic income (UBI) is available for all.<\/p>        <\/div>\n      <\/a><\/div> <\/div>\n<\/div><\/div>\n\n\n<section class=\"wp-block-group alignfull section--sign-up has-background\" style=\"background-color:#7967ae\"><div class=\"wp-block-group__inner-container is-layout-flow wp-block-group-is-layout-flow\">\n<p class=\"has-text-align-center is-style-default has-white-color has-text-color has-large-font-size\"><a href=\"\/sign-up\/\">Sign up<\/a> to keep up to date with ReThink Q.<\/p>\n<\/div><\/section>\n","protected":false},"excerpt":{"rendered":"<p>Two experts debate what the future of perks and benefits should look like.<\/p>\n","protected":false},"author":1,"featured_media":3599,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":true,"footnotes":""},"categories":[285],"tags":[237,297,247,489],"coauthors":[482,481],"class_list":["post-3598","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-debate","tag-benefits","tag-debate","tag-hr","tag-perks","issue-issue-12-resilience"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v26.5 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Are companies going overboard with perks and benefits? 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