As a business owner, it’s your responsibility to ensure that the people working for you have a fair, liveable compensation plan. In many larger organizations, a union will advocate for workers’ needs. In smaller companies where the large majority of workers are non-union, however, the work of caring for staff falls directly to you as a leader.
Group Benefits and Employee Satisfaction
No matter what type of organization you have, offering a comprehensive group benefits plan is one of the pillars of keeping your staff on the right track. Research from multiple sources has indicated that happier employees are more productive.
While overall compensation and other factors affect staff happiness, offering a robust supplemental benefits plan is often more cost-effective than increasing salaries. Glassdoor’s 2015 Employment Confidence Survey, four out of five employees prefer receiving benefits or perks over a pay increase. This means that your workers are more likely to feel satisfied with greater coverage than what you could achieve by paying them the value of the plan, whether they are union or non-union.
Benefits for Union vs. Non-Union Employees
If you run a small- to medium-sized business, chances are good that you employ non-union workers. In fact, the 2015 Canadian Federal Jurisdiction Workplace Survey reported that, in companies with less than 100 employees, approximately 90% did not belong to a labor union.
In some large companies where a union has the power to dictate benefit coverage, getting a plan may simply be a matter of choosing the right group benefits broker. If your employees are non-union, however, deciding on exactly what sort of plan to offer can require more thought.
Failing to Satisfy Non-Union Employees’ Needs
While it is difficult to deny that group benefits impact employee satisfaction, many employers fail to understand just how vital benefits are to employee retention. You may think that, with non-union staff, you are above the risk of interruptions such as strikes. While this may be true, if you fail to properly meet your employees’ needs, you face a far greater risk: losing your workers altogether.
This is far from an idle threat. A recent survey found that more than a third of Canadian companies said employee turnover increased in 2022 compared to 2021. Not only are employees more likely to leave than ever before, but the current labor market also works strongly in their favor.
According to a December 2022 Statistics Canada report, the third quarter of 2022 reported a staggering 72.7% higher job vacancy rate than the first quarter of 2020. This means that if you fail to offer your non-union employees a competitive compensation package, they will find someone else who will.
Create Sustainable Group Benefits with Zarmac
Zarmac Benefits has been providing benefit programs to both new and established businesses for over 20 years. We take the time to analyze what you need and customize a benefits package specifically for your business style, now and for the future.
Zarmac provides critical analysis specific to your business to deliver real choices, advise on trends, streamline renewals, and optimize your plan design. We make it easy for you and your team by supporting the management of your program. We also proactively educate and eliminate questions to ensure there are no surprises.
Ready to protect your business and your team? Find out more about the Zarmac difference!