www.principal.com Open in urlscan Pro
2a04:4e42:600::740  Public Scan

Form analysis
0 forms found in the DOM

Text Content

Skip to main content
 * For Businesses
 * Protect my employees
    * Retirement Plans
      * 401(k) & 403(b) plans
      * ESOPs
      * Nonqualified deferred compensation plans
      * Pension plans
      * Bonus plans
    * Group Benefits
      * Disability insurance
      * Life insurance
      * Dental insurance
      * Vision insurance
      * Critical illness insurance
      * Accident insurance
      * Insurance services
      * Paid family and medical leave & state disability insurance
      * Group hospital indemnity insurance
    * Tools To Get Started
      * Compare benefits
      * Assess your needs
      * Trends & insights
   
   Your employees' security starts here
   
   Discover how to navigate the decisions involved in protecting your employees

 * Protect my business
    * My Businesses' Future
      * Business succession
      * Key employee retention & retirement
      * Key person protection
    * My Future
      * Income protection
      * Life insurance
      * Legacy & estate planning
      * Strategies for retirement
    * Tools To Get Started
      * Compare benefits
      * Assess your needs
      * Trends & insights
   
   Preparation starts here
   
   Discover what's important in protecting your business

For Individuals
Search
Close search
Log in Menu
 1. Your business matters
 2. Trends and Insights
 3. How to create employee benefit packages that help you recruit and retain

3 min read

3 minute read
May 05, 2022


HOW TO CREATE EMPLOYEE BENEFIT PACKAGES THAT HELP YOU RECRUIT AND RETAIN

Your business depends on assembling the benefits that current and potential
employees want and need.



How much would it cost you to replace a super-skilled, super-valuable employee?

Experts say the tally is about one-third an annual salary—if not more for
experienced or highly specialized workers.

Those costs—and keeping the employees you have and attracting new workers—is
very much on the mind of small and midsize businesses. According to recent
research by Principal®, retention and recruitment remain two key employer
concerns.

Competitive pay always serves as a draw. But keeping pace with larger employers’
salary and wage options may not be doable. Luckily there’s another lever you can
pull to help you gain an edge: employee benefit packages that are in tune with
what the market demands and people want. That same Principal research found that
employees say feeling valued and receiving improved benefits are among the best
ways to retain or recruit them, right behind increased/competitive salaries.

“When you’re trying to attract and retain employees, the more you show you care
and that you’re in it with them, the more it can inspire a happier, healthier,
and more productive workplace,” says Mark West, national vice president of
business solutions for Principal.

How do you create employee benefit packages to match your business, your budget,
and your employees? We have ideas.


1. TALK TO COLLEAGUES AND MENTORS ABOUT BENEFIT PACKAGES IN THEIR WORKPLACE.

Network ties—including organizations you belong to, groups you volunteer with,
and associations you’re a member of—can help you learn what’s working for other
small and midsize businesses.

“You’re really competing with everyone in the current environment. The more you
understand what other business owners are offering out there, the better
positioned you’ll be to hire and keep top talent,” West says.

Colleagues’ insights can help with brainstorming outside traditional benefits
(think employer-sponsored retirement accounts and health insurance). For
example, the Principal Financial Well-Being IndexSM found 33% of employers plan
to increase mental health benefits. “Initiate some conversations to find out
what others are offering, or what they didn’t offer before that they feel like
they need to offer now,” West says.


2. ASK JOB CANDIDATES OR FORMER EMPLOYEES ABOUT THE BENEFITS THAT MATTER.

If you’ve made an offer that’s been turned down, or find yourself with a valued
employee who’s decided to leave, the next question to ask them is, why?

“One of the things you might find out is that they were offered benefits that
you might not have even considered,” West says. “Those questions help you
understand what it takes to make someone feel valued enough to stay or to join
your company.”

Get five ideas for attracting and retaining top talent.


3. ENGAGE EMPLOYEES IN THE BENEFITS CONVERSATION.

Customizing benefits for your workforce requires knowledge about who your
employees are and what they value. “A 25-year-old may have student loans, while
a 55-year-old may be saving into their own individual retirement account to
catch up on savings,” West says. “Understanding what your employees want is
critical to your success.”

Dig deep into these insights. It turns out that many employers have a perception
gap between how they think employees feel about benefits and how those same
workers perceive benefits. For example, 72% of employees want at least one
additional benefit, but only 47% of Principal small and midsize business clients
offering benefits are interested in adding them in the next 12 months.

A few ideas to initiate conversation:

 * Survey questions that allow employees to rank both existing benefits and
   potential new benefits
 * Discussions with a representative group of employees about benefits
 * Longer one-on-one interviews with department representatives


4. ADAPT, THEN ADAPT AGAIN.

Benefits, says West, are a continuous conversation. They may change as your
business changes, particularly as you grow and add employees. Benefits may also
evolve as your employees gain tenure with your company; what was important to
them five years ago may not matter today. “You can set and communicate some
customized benefit goals, too,” West says. “Establish benefits you want to add
this year that your employees want, and benefit goals you have in one year, five
years, and so on.”


WHAT’S NEXT?

 * How does your benefits package stack up against the competition? Use the
   Principal® Benefit Design Tool to find out.

Attracting & retaining my workforce


About the Principal Financial Well-Being IndexSM

The Principal Financial Well-Being IndexSM surveys business owners, decision
makers and business leaders aged 21 and over who work at companies with 2 –
10,000 employees. The nation-wide survey, commissioned since 2012, examines the
financial well-being of American workers and business employers. In response to
COVID-19, the Well-Being Index was transformed from an annual survey to a
quarterly pulse, offering three waves, revisiting questions and measuring
sentiment regarding timely issues in the small and midsized business
marketplace. In the first pulse of the Well-Being Index in 2022, the employee
audience was added to the survey to compare and contrast key ideas and sentiment
from employers. The survey was commissioned by Principal and conducted online by
Dynata from March 11-23, 2022, with a total of 500 business owners, and decision
maker participants and a total of 250 employee participants. The research report
focuses on providing a holistic perspective on key trends and timely issues in
the small and medium business market.

Principal developed a dedicated portal for employers designed to help business
handle the effects of COVID-19 and a challenging economy in the months ahead. To
learn more visit Navigating Business Now.

This document is intended to be educational in nature and is not intended to be
taken as a recommendation.

Our company

 * About us
 * Investor relations
 * News room
 * Sustainability
 * Insights

We're hiring

 * Careers
 * Global jobs
 * Financial professional opportunities
 * Internships
 * Recent graduates

Other sites

 * For dental providers
 * For financial professionals
 * Principal Asset Management

Our company
 * About us
 * Investor relations
 * News room
 * Sustainability
 * Insights

We're hiring
 * Careers
 * Global jobs
 * Financial professional opportunities
 * Internships
 * Recent graduates

Other sites
 * For dental providers
 * For financial professionals
 * Principal Asset Management

Contact
 * 800-986-3343
 * Help topics
 * Contact us

 * 800-986-3343
 * Help topics
 * Contact us

 * Terms of Use
 * Disclosures
 * Privacy
 * Security
 * Report Fraud
 * Site Map

© 2023, Principal Financial Services, Inc.

Securities offered through Principal Securities, Inc., member SIPC





COOKIES ACCEPTANCE



By clicking “Accept all”, you agree to storing cookies on your device to enhance
site navigation, analyze site usage, and assist in our marketing efforts. More
information can be found by clicking "Manage cookies".

View our Global Privacy Statement



Manage cookies Accept all



PRIVACY PREFERENCE CENTER

When you visit any website, it may store or retrieve information on your
browser, mostly in the form of cookies. These “cookies” of information might be
about you, your preferences, or your device, and they’re mostly used to make the
site work as you expect it to. Cookies don’t usually directly identify you, but
they can give you a more personalized web experience. Because we respect your
right to privacy, you can choose not to allow some types of cookies. Click on
the category headings to read more or change your default settings. (Note:
Blocking some types of cookies may impact your experience on our site, as well
as the services we can offer you.)
More information
Accept all


MANAGE CONSENT PREFERENCES

STRICTLY NECESSARY COOKIES

Always active

These cookies are necessary for our website to function and can’t be switched
off in our systems. They’re set for you behind the scenes when you do things
such as log in, fill out forms, make a request for services, or set your privacy
preferences. You can set your browser to block or alert you about these cookies,
but some parts of our site won’t work without them.

Cookies Details‎

PERFORMANCE COOKIES

Performance Cookies

These cookies allow us to count how many times people visit our website, and how
they get here, so we can measure and improve its performance. They show us which
pages are the most (and least) popular, and how visitors move around on the site
when they’re here. If these cookies are, we have less information about how to
improve our sites that will be useful to you.

Cookies Details‎

FUNCTIONAL COOKIES

Functional Cookies

These cookies enable our website to work smoothly and in a manner personalized
to you. They may be set by us or by third-party providers whose services we’ve
added to our pages. For example; downloading a customer service form using PDF.
If these cookies are blocked, then some or all of these services may not
function.

Cookies Details‎

MARKETING COOKIES

Marketing Cookies

These cookies may be set through our site by our advertising partners. They may
be used by those companies to build a profile of your interests and show you
relevant advertisements on other sites. If these cookies are blocked, you will
experience less targeted advertising.

Cookies Details‎
Back Button


BACK



Search Icon
Filter Icon

Clear
checkbox label label
Apply Cancel
Consent Leg.Interest
checkbox label label
checkbox label label
checkbox label label

 * 
   
   View Cookies
   
    * Name
      cookie name

Confirm my choices