Hourly, salaried workers demand medical coverage, drug plans

As a result, keeping good employees on staff is a major goal for many companies.

To accomplish this goal, companies must review and implement solid insurance plans and benefits programs.

The big four

Four primary benefits are sought by both hourly and salaried workers:

1. Medical coverage and prescription drug plans.

Consider raising pay if your business has elected to not provide these types of coverage.

While such benefits do add a tremendous financial burden because of significant, ever-increasing yearly costs, payroll is a controllable expense within your budget.

Raising pay in lieu of health coverage helps you better manage financial assets. Employees – some of whom might have coverage available through spouses’ employers – also win because a higher income provides them with the ability to purchase their own insurance.

2. Retention raises. Such raises should be given on a quarterly or semiannual basis to provide incentives for employees to stay in their jobs.

3. Quality of life incentives. This type of benefit includes casual dress days, on-site child care or reimbursement of child-care costs, company social events and community service projects.

4. Paid time off. At a minimum, give time off for sickness, holidays, funerals and vacations.

With funeral leave, it is critical to define exactly what family members fall under this category to qualify the employee for paid days off. The number of vacation days allowed should correlate with length of service.

Management perks

In addition to those four benefits, managers typically demand more:

• That the employer will pay 100 percent of medical and prescription premiums, and the bulk, if not all, of the premiums for family members;

• That additional insurance will be offered, such as life, dental, vision, long-term care, accidental death and disability and short- and long-term disability;

• That retirement plans, stock options, bonus programs, educational expense reimbursement, prepaid legal plans and access to personal financial planners will be available; and

• That quality of life perks, such as housekeeping, massage therapy and dry-cleaning pickup and delivery will be available.

Other such perks might involve banks, personal counseling, fitness, nutrition and stress relief.

Comprehensive insurance and benefit packages definitely draw and retain hourly and management workers. Since organizations vary, conduct an employee survey to determine the specific benefits staff members desire, and begin building a sound benefit program today.

Lynne Haggerman, M.S., is president/owner of Haggerman & Associates, a firm specializing in management training, retained search, outplacement and human resource consulting. She can be reached at lynne@haggermanandassociates.com.[[In-content Ad]]