RW Benefit Communications, specializing in customized, total compensation statements, reports that the company has experienced a 51% of growth in activity over the past year, concurring with a recent report published by the Employment Policy Foundation (EPA), ìAmerica Workplace 2005: The Changing Nature of Employee Benefits.î The report released in August of 2005, states that ìbenefits have replaced salary as the prime consideration of workers when deciding to change jobs.î EPA is a nonprofit, nonpartisan public policy research and educational foundation based in Washington, D.C. that focuses on workplace trends and policies.
At the companyís yearend, RW Benefit Communications reports an increased demand for benefits statements from companies across the country. The Scottsdale-based company expects even more activity throughout the first of the new year when companies offer their employees open enrollment for benefit options.
Romy Wightman, principal of RW Benefit Communications, attributes the increase in demand for benefit statements to rising health care costs which have urged several employers to not only seek creative ways to provide their employees with valuable benefits, but to also educate their employees about the monetary value of company benefits beyond salary. Romy Wightman predicts that this trend will continue to rise.
ìYears ago, employers didnít feel the need to share this information with employees,î said Wightman. ìBut more and more companies want to show employees exactly what it costs to provide medical, dental, and other benefits because the costs of these services are rising so fast.î
An improved job market, particularly in the southwestern region of the U.S., is also the impetus of employers providing and fully disclosing total compensation statements to their employees. Companies divulge this information as a means to retain talent in a restless job market, saving the company thousands of dollars they would otherwise spend in hiring and retraining new employees. Employers also use projected total compensation statements as a hiring tool to entice talented candidates in a highly-competitive job market.
ìItís not enough to simply say you offer employees a competitive salary-plus-benefits package,î added Wightman. ìCompensation packages have become much more complicated ñ even over the past few years. Employees want to know the entire value of the benefits on the table, and employers donít mind boasting to tell them. Itís a win-win proposition.î
Benefits that are part of an employeeís overall compensation package include stock options, retirement projections and participation in various investment programs. Additional benefits that are often overlooked as part of overall compensation include tuition reimbursement, use of a company car, safety uniforms and eyewear, company parties, service awards and incentives.
ìMany employees donít consider the costs a company accrues by offering lunches, company parties, and birthday and holiday gifts,î continued Wightman. ìThose companies that offer extraordinary stock options or retirement and investment options deserve credit for compensating employees with valuable benefits. In turn, the employee feels more at ease accepting less salary and is more willing to shoulder health care costs. Overall, the employee and employer are more invested in each other for the long-term.î
RW Benefits Communication Reports 51% Growth This Year Over Last
Report indicates that benefits are higher priority than wages
