Personalized benefits can lead to higher retention

Sometimes the light comes on at the strangest hours.

Amy Spurling, CEO of Compt, was trying to give employees at her old company a perk – gourmet coffee. When deciding what to give, she thought about who would prefer tea. What about those who didn’t want it either? And how could she personalize this benefit for her employees? It was then that the light went out.

“Employers provided perks that they thought employees would like from food to sports activities at work,” she explains. “But when you look at the numbers, the participation rate is very low, around 5 to 7%. Why? This is because these benefits are not really meaningful to the employees.

She therefore created Compt, which provides an allowance platform capable of transforming “obsolete benefit programs into lifestyle support programs”. Spurling, a five-time CFO and COO, says the platform addresses the underlying needs of employees and relieves employers of the burden of guessing which benefits will work.

“Companies look for the highest possible use of benefits to show their effectiveness within their organization, and with this method, companies see an average of 90% employee engagement with their allowances,” notes Spurling.

“Companies that had not jumped on the trend of these now obsolete benefits, such as manufacturing, can leap forward to meaningful, personalized benefits,” she said. His company works with various manufacturers, including railroads, agriculture, and healthcare production.

Flexible benefit types

One of the most difficult parts of choosing benefits is determining which benefits would benefit from participating. Compt solves this problem by offering benefits in a wide variety of categories and allowing employees to use their allowance to choose their own benefits. “What’s interesting is that in these categories, employees come up with ideas on how to use the money that would never have come to human resources departments, but which are so important to the employee,” explains Spurling.

Here is an example of some of the more popular categories.

  • Health and Fitness – This can be used for home gyms, healthier eating as well as paying for mental health apps.
  • Remote work – Funds can be allocated to equip a home office with ergonomic equipment or to upgrade the equipment.
  • Family – This category can cover child care to personal care in order to be a better parent or guardian.
  • Learning and Development – Employees can improve their skills either through a full-time academic program such as an MBA or through a weekend executive program. Other options include online learning.

Measuring success

“It’s the freedom of choice that creates a stronger, more confident relationship between employer and employee that ultimately results in increased retention,” says Spurling.

She notes that these perks are also a way for companies to differentiate themselves, helping them attract incredible talent and retain the people they have. “In times of dispersed teams this advantage is especially important,” says Spurling. “It can support global teams and has a low administrative burden. “

How the process works

The software accommodates a variety of personalized choices, provides salary reimbursement, and is IRS compliant. It’s an easy-to-manage system for HR as they no longer need to select, drive, buy, manage and maintain each individual benefit. The reports allow HR to easily see benefit utilization rates so that adjustments can be made.

An example of how the system works is that an employee receives an allowance of $ 100 per month to spend on the following benefit categories: lifelong learning, health and wellness, and nutrition. The employee, in this case, bought books, a gym membership, paid for lunch with her team. Other common categories include student loan repayment, travel, technology, and cell phone payment.

A benefit for all

A distinct advantage of this system is that by design it is very inclusive. Many employees might not want to use the traditional gym or childcare services and feel excluded from the benefits. Allowing employees to choose their own benefits creates a culture of inclusion and supports employees in a meaningful way. It is also beneficial for the organization. . “Providing this diversity of benefits can help a company better align its mission, vision, values ​​and goals,” says Spurling. “This in turn will help attract a diverse workforce. “

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