Do personalised benefits make better rewards?

Reward schemes are often expected at work, but the multitude of benefit options available can make it difficult to choose the right provider for you. Further complicating the process, the increase in technology and data means that there is now more of an emphasis on reward personalisation.

Digital employee benefit platforms and other forms of personalisation technology are on the rise, and it’s now possible to tailor rewards to individuals. These platforms allow businesses to track engagement and provide information about the perfect blend of employee benefits required for their workforce. These developments allow businesses to create benefit strategies that reward, engage and protect employees in a more efficient way than ever before. This is why personalised benefits make better rewards.

 

Changing Norms

Previously, work meant 9am to 5pm and receiving payment to say thank you. Today, technology such as cloud systems and remote desktops mean that the working environment has become flexible and employees can work from anywhere and around individual commitments. As working environments have developed, employees have become accustomed to the emphasis on individual needs within the workplace. This has made employees expect greater autonomy in all areas at work, including employee benefits.

Companies now show their employees that they appreciate them by providing more than just money. They deliver benefits that reward, engage and protect their employees with a focus on the work-life balance. Top talent, who will exchange loyalty and determination for flexible working and personalised benefits, are then attracted to work for these businesses. This cultural change means that the rewards of yesterday do not have the same appeal today.

 

Employee Differences

No two employees are the same. In order to provide rewards that actively protect, engage and reward employees, personalised benefits are vital. This is because what might motivate one employee might not motivate them all.

For example, a business providing their employees with tickets to the cinema as a way of saying thank you may engage with those who love films, however employees who are not interested in the cinema are likely to feel frustrated with the reward, which is likely to negatively affect their perception of the business.

Furthermore, some benefits may not be necessary for your entire workforce, and as we get older, our priorities may change. For example, Neyber’s DNA of Financial Wellbeing 2018 research found that 18 to 24 year olds are most concerned with mental health and 55 to 64 year olds are mostly concerned with physical health. Through personalisation technology, multi-generational workforces have access to the schemes that they are likely to benefit from. Older generations interested in health protection will receive the same appreciation as the younger workforce who focus on retail discounts. This individualisation shows employees that their business supports multiple workforces and their personal needs.

 

Business Benefits

Helping employees feel like a valuable part of the business can increase staff morale and performance as employees strive to achieve the level of work that saw them rewarded previously. This can have a positive effect on the team dynamics and performance of employees across a business.

There are many companies that do not personalise their reward schemes, who still engage with their workforce. However, as the move towards technology develops, more businesses are offering personalised rewards. If other businesses offer personalised benefits that really matter to their employees, it’s likely that businesses who don’t will lose attraction and employee retention.

As more bespoke schemes are developed, employee expectations are growing. Employers must interact more and show appreciation and recognition of the individual. Personalisation shows employees that their employer understands that times have changed and that their employees are all different. It can increase employee satisfaction, attraction and retention throughout multi-generational workforces as employees feel protected, engaged and rewarded as an individual.