Rewards & Benefits: Is it the Giving or the Receiving?

In the competitive landscape of UK higher education, employee benefits play a vital role in attracting, retaining, and motivating top talent.

However, a significant challenge lies in the gap between the comprehensive benefits packages that institutions offer and the level of understanding that employees—both new and long-standing—have about these offerings.

This disconnect can hinder performance, well-being, and overall job satisfaction.

A recent study by the Society for Human Resource Management found that 90% of survey respondents said healthcare is an extremely or very important employee benefit. Eighty-three percent say flexible work and leave time are extremely or very important.

My guess here is that health, flexible work and leave time are the most important because they are easy to understand and easy to see the benefits.

Again, my guess here is that benefits such as Death in Service Policies or Pension Schemes are often so complex that it results in people not understanding the benefits or end result.

This is a major factor in the widening gap between employees understanding and employers provision.

Shifting attitudes and behaviours within and outside of the workplace require institutions to adopt a more comprehensive and forward-thinking stance toward future risks that may impact their employees. If institutions don’t, they are putting themselves at a competitive disadvantage and will find it harder to attract and retain people amid an aggressive war for talent.

The Awareness and Understanding Gap

Despite the generous benefits on offer, research and internal surveys often reveal a worrying gap in employee understanding:

Insufficient Induction: The initial induction process may not adequately cover the range and details of the benefits available, particularly for new employees.

Complexity of Offerings: The complexity and variety of benefits can be overwhelming, leading to confusion and under-utilisation.

Ineffective Communication: Traditional communication methods may not reach all employees effectively, particularly in large or multi-campus institutions.

The Impact on Performance and Wellbeing

The disconnect between available benefits and employee understanding has a direct impact on performance, engagement, and retention:

Decreased Job Satisfaction: Employees who are unaware of key benefits may feel less supported, which can lead to lower job satisfaction and commitment.

Under-utilisation of Benefits: Vital benefits, especially those related to health and professional growth, may be underused, contributing to increased stress, burnout, and reduced productivity.

Missed Development Opportunities: Lack of awareness of professional development benefits can stall career progression, reducing motivation and innovation.

What Can You Do?

Uncovering that there is a problem is easy, knowing what to do and how to go about making a change is not always straight forward.

As HR professionals and hiring managers, you play a critical role in bridging this gap and ensuring that employees are fully aware of and understand the benefits available to them. Here are several strategies to help you achieve this:

1. Enhance the Induction Process: Make employee benefits a key focus of the induction process. Ensure that new staff receive clear, accessible information about all benefits from the start, and consider follow-up sessions to reinforce this knowledge.
2. Simplify and Tailor Communication: Use straightforward language in all benefits communications and consider multiple formats—such as digital guides, webinars, and face-to-face sessions—to ensure the information reaches everyone. Tailor messages to different employee groups based on their specific needs and roles.
3. Leverage Digital Tools: Implement digital platforms that allow employees to easily access and understand their benefits. Interactive tools, such as online benefits portals or mobile apps, can provide personalised guidance and increase engagement.
4. Ongoing Education and Support: Employee benefits should not be a ‘set it and forget it’ aspect of HR. Regularly update employees about their benefits, especially when there are changes, and provide ongoing support throughout their careers. Consider setting up a dedicated helpdesk or HR team to answer queries and provide detailed explanations when needed.

We help with all of the above through the collaboration between myself, James the Financial Advisor, and Burman the expert HE recruiters.

Funnily enough and as if by magic, we are running our next event in London, focusing on the issues within this newsletter and how you can make the sun shine again on employee engagement.

Impact & Insights: Discussing Rewards, Benefits and Sector Changes in Higher Education

Hear from speakers inside and outside of the industry, best practices and new ideas. Including:

1. James Melhuish - Money Matters Independent Financial Advisor & Partner of Burman
2. A Rewards Consultant from a UK University (TBA)
3. Director of an Umbrella Company (TBA)
4. Economic Specialist (TBA)
5. Burman representative (TBA)

Click here to register your attendance: SIGN UP HERE

We only have a limited number of spots so please ensure early sign up!