The War for Talent & Turnover Post-Covid
Companies have been starting to take a sigh of relief that they have somehow managed to problem-solve their way through a global pandemic. But companies may need to hold their breath again as they brace for the war for talent: more than a quarter of their employees may leave.1
Employees are thinking big moves, reflecting on the past year in their work-from-home spaces, contemplating their career choices and where they truly want to end up in their professional careers. There is a reason why quit rates reached their lowest level since 2012, because it was the safest option for themselves and their families during a time of unknowns.
Now that vaccinations are rapidly available across the U.S., and remote work is proving to be just as efficient, employees are quickly realizing that their career flexibility is a must-have in a post-pandemic world.
While employees are starting to plan how they can get their foot out the door, employers need to strategize how they can hold onto their best talent and protect productivity during this time of recovery. Afterall, these emerging needs are not going away anytime soon. Employers need new benefit strategies to help offer what employees want and need during the war for talent before they experience the wave of company turnover that is on the horizon.
Top talent is feeling the burn
Research shows that one in four employees (25 percent) reported work-life balance as the main reason they would search for a new job. Additionally, more than half (51 percent) of employees currently working remotely are worried their manager doubts their productivity, causing nearly half (44 percent) to start work earlier or stay online later.2
Even with employees gaining the feeling that they have more flexibility, blurred lines have now been created that have caused employees to overwork themselves in fear of being viewed as “less productive” with their managers—causing immense stress, disengagement and turnover.
It’s important for employers to remember these pressures are being felt deeply throughout their core talent. Executive leaders, top talent and the leaders that help drive the company’s success through a global pandemic are exhausted and need more support that reassures them that they are valued, respected and cared for. Investing in expanded benefits that include support for the full spectrum of mental health and well-being can help companies position themselves as employers of choice, now and in the future.3
The threats of poaching
Even before the pandemic, many companies already struggled to find ways to engage and retain their employees. Now with remote work being more common, the war for talent is even more fierce. Employers no longer have to just worry about local or regional competitors but national and global ones since companies are now recruiting in areas outside of their physical locations.
Studies show that nine out of ten, or an astounding 86 percent, of workers aged between 22 and 37 would take a job for lesser pay if the other job were an organization that better aligned with their personal values.4 Employees have quickly realized that their personal flexibility in their careers are new deal breakers when it comes to reflecting on what their current company may not offer, compared to what other companies can give without hesitation.
This is where an integrated approach to compensation and benefits can help employers “poach-proof” their top talent before it is too late. Tax-advantage benefits* can help employers find new ways to address compensation, especially for valued talent, while also managing health plan budgets.
A year full of isolation certainly allowed millions of Americans to get comfortable sitting in their own thoughts reflecting on what their current and future lives look like in a post-pandemic world. If employees weren’t happy in their careers before the global pandemic, they certainly had plenty of time to think about their next moves to find that happiness and flexibility they are craving.
Employees are ready to leave both the pandemic restrictions and their current jobs behind in 2021.5 This transitional period is causing a lot of employees to rethink the role they want work to play in their lives—if employers aren’t offering flexibility, they’ll have a turnover problem they won’t be able to ignore.
This means that employers need to start reimagining their benefits strategy to jump in front of these pent-up feelings their employees are experiencing. Tailoring or optimizing benefits can help employers meet emerging needs or ongoing employee benefit priorities cost-effectively. Flexible complementary health insurance benefits† can layer over existing primary insurance plans to expand or enhance benefits, even for select roles or employee classes as defined by the employer. This can help employers boost recruitment or retention for key leadership or positions that are challenging to recruit or retain.
New benefits strategies can help employers meet evolving needs in a changing world—and protect employers from the war for talent and turnover on the horizon.
Looking for that benefit flexibility? ArmadaCare’s plans fill voids in coverage for routine, elective and unexpected healthcare expenses, offer valuable health and productivity support services and invite usage with modern conveniences, education touchpoints and people-first service. The result gives our clients the edge they need to retain, recruit and reward talent at any level. Ready to learn more now? Click here!
*This is not local, state or federal tax advice as each person and each company is unique. It is recommended that you seek the independent counsel of a professional tax adviser.
†The above referenced supplemental health insurance policies have exclusions, limitations, and benefits that vary by plan and state. To obtain a quote or for more details on coverage, contact ArmadaCare.