How can I create an attractive benefits package for my employees?

Putting together an employee benefits package is about giving your people support they'll actually use, while making sure it works for your business too.

That's not always straightforward. Every workforce is different, budgets aren't unlimited, and what employees value today might not be what they value in a few years' time. 

The good news is that you don't need the biggest benefits package to make a positive impression. You just need the right one.

Understanding what modern employees actually want

There's no such thing as a benefits package that's right for everyone.

What matters to a graduate in their first job is unlikely to be the same as someone with a young family or an employee who's starting to think about retirement. People's priorities change, and your benefits need to reflect that.

Rather than deciding what employees should value, ask them.

Employee surveys, anonymous feedback and regular conversations can give you a much better understanding of what's working, what's missing and where you're spending money on benefits that people simply aren't using.

It's also worth remembering that offering a benefit doesn't mean employees know it's there.

Too often, benefits are introduced during onboarding or annual enrolment and barely mentioned again. Months later, employees either forget what's available or don't realise a benefit could help them when they actually need it.

Keep communications straightforward. Explain how a benefit could help in everyday life rather than leading with policy details. A real example will often land better than a long list of features.

Think about when employees are most likely to need that information too. Someone returning from parental leave won't be looking for the same support as a new starter or someone buying their first home.

The more relevant your communications are, the more likely employees are to understand and use the benefits you've invested in providing.

Balancing budget with impact

Creating an attractive benefits package doesn't mean offering every benefit available.

For many employers, it makes more sense to build a strong foundation first. A workplace pension, life assurance, an Employee Assistance Programme (EAP) and wellbeing support can provide real value without stretching budgets too far. As the business grows, additional benefits can be introduced where they'll have the greatest impact.

The key is making decisions based on evidence rather than assumptions.

Regular employee surveys and anonymous feedback help you understand which benefits people genuinely value and which ones they're rarely using. That means you're investing your budget where it'll make the biggest difference, rather than paying for benefits that sound good but see little engagement.

It's also worth looking beyond your own organisation.

Benchmarking your benefits against similar employers can help you understand how competitive your offering is and where there may be opportunities to improve. You don't necessarily need to offer more than everyone else, but you do need to understand how your package compares.

At Howden, we help employers review their benefits through market benchmarking and our Howden Be platform. Together, they provide valuable insight into how your current package compares and where changes could have the biggest impact for your people. 

Future-proofing your benefits strategy

Employee expectations don't stand still.

The benefits that helped you attract and retain people a few years ago may not be the same ones your workforce values today. Economic conditions change. Healthcare changes. People's priorities change too.

That's why reviewing your benefits every year is so important.

An annual review gives you the chance to look at employee feedback, understand which benefits are being used, compare your offering with the wider market and make sure your investment is still delivering value for both your people and your business.

Working with an independent employee benefits adviser can make that process much easier.

Rather than relying on a standard package, Howden Employee Benefits can help you build a benefits strategy that's right for your workforce, your budget and your long-term goals. We'll also help you keep pace with changes in the market, so your benefits continue to support your employees as their needs evolve.

If you'd like to review your current benefits package or explore how you can build a more competitive offering, talk to the team today.

Howden Employee Benefits & Wellbeing Limited is part of the Howden Group. Registered in England and Wales under company number 2248238, with its registered office at One Creechurch Place, London EC3A 5AF. Authorised and regulated by the Financial Conduct Authority (Financial Services Register No. 312841). The Financial Services Register can be accessed through www.fca.org.uk