Flexible benefits packages will be crucial in 2011
Companies must ensure they can offer their employees flexible benefits packages this year, those with London jobs may be interested to learn.
That’s the opinion of Diana Bruce, the Chartered Institute of Payroll Professionals’ (CIPP) policy liaison officer; who told the Institute of Leadership and Management that this will be a “key area” in the coming months.
“Employers need to keep communication open at all times, and find other ways of motivating staff. Not everybody is driven by an increase in salary,” said Bruce, adding that alternatives could include extra annual leave, health insurance packages or increased childcare provision.
“The flexible benefits package that they offer employees is a key area; they are not actually giving away additional cash but the employees will hopefully feel the benefit,” Bruce concluded. She also highlighted the importance of keeping the lines of communication “open at all times.”
According to YouatWork.com, Bruce’s comments echo those recently made by an independent HR consulting firm, who suggested that companies should see the investment into extra benefits as a reward to their employees for working hard throughout the recession, and remaining loyal to their employer.
Although a recent survey showed that many employers do plan to increase their employees’ wages this year, it has been suggested that the high rate of inflation (which could well continue to grow) will most likely off-set this, leaving staff with only a small increase in the actual amount of money they have each month.