Running a profitable business is usually dependent on a stable workforce. If you have high staff turnover or lose key staff from time to time, you need to consider what you can do to retain these staff.
Disengagement stems from over-exhaustion, ineffective management, or misalignment throughout an organization. Low morale leads to high turnover rates, low productivity, and ultimately, disengagement. Unhappy workers cost the U.S. up to $550 billion per year.
When this happens, you need to find a solution, fast!
Business leaders and their HR departments play a significant role in sustaining employee engagement and motivation. They need to provide all team members with the resources they need to stay motivated.
If you offer your employees an incentive, 85% of workers feel more motivated to do their best.
The most obvious incentive is to pay more to your employees. But as soon as competitors match your pay rates, or offer to pay more, the value of your incentive vanishes.
Employee Incentive Programs
These programs can be introduced to attract, engage, and retain talent. The rewards and benefits included can be used to motivate positive behaviors in your workforce.
The cornerstone of many incentive programs is group Life Insurance.
What is Group Life Insurance?
This Life Insurance is of great value for employees because it is usually offered to them free as part of an employee incentive program.
Because all employees are covered, the insurer can average out the insurable risk and the cost to the employer is much less than the combined normal retail rates for all the employees.
The amount of cover can be as low as $25,000 or typically as high as two- or three times the annual salary, sometimes higher.
There are no medical questions to answer, making this particularly attractive to staff with existing health conditions.
The plan can be made even more attractive by adding living benefits like disability, critical illness, and long-term care. These are benefits where the life insured does not have to die for a payment to be made.
Being diagnosed with a condition that fits the definition of a successful claim for living benefits is far more likely than death during your working life. This could include cancer, heart attack, stroke, etc.
Typically, these benefits might pay $50,000 or $100,000 for each employee. Again, these additional benefits usually require no medical questions, so everyone is covered, regardless of the state of their health.
Coverage is tied to your job, so employees will prefer a plan that allows them to continue the cover if they leave the employer. This is generally available, with the ex-employee taking over the cost of course. The plan limits the type of insurance offered and the maximum sums insurable. If their personal insurance needs are greater, they will still need to seek that cover elsewhere at their own expense and based on their current state of health.
Often the plan will allow employees to voluntarily choose to increase their Life and/or Living benefits at their own expense. The costs will be much less expensive than normal retail rates for the same cover, especially for older workers, but approval for the increased amounts may be subject to any existing health issues.
Getting the base cover offered is easy for each employee, often completed as part of their initial hiring documents, it is free, and they are fully covered despite any existing health conditions.
To understand how to structure an Employee Incentive Plan with a Group Life Insurance that suits your organization, you should seek professional advice. Corporate Business Solutions Reviews is one place to start or contact them for assistance.