For small businesses, new benefits can make a difference. However, the employee must ask himself certain questions to measure the impact of these benefits on his portfolio and even on a more global financial plan.
First: does it replace an expense he would have made?
If this is not the case, the advantage is worthless, explains Anik Bougie, practice head, financial planning and taxation, at Professionals’ Financial (FDP). Conversely, “if I am offered a pension fund, I may have less need to contribute to my RRSP,” she says.
If the offer replaces an expense, then the savings represented by the gym or public transport subscription must be calculated. But beware, these are often taxable benefits, warns Anik Bougie. Then you have to calculate them as such – and have a realistic look at the benefits of the overall proposal.
According to her, this type of benefit is particularly attractive for younger people who see their retirement far away.
In a situation of labor scarcity, you have to be able to stand out from the competition, explains Marie-Ève Dufour, professor at the Faculty of Administrative Sciences at Laval University.
“The balance of power is reversed, to the advantage of employees and candidates,” she recalls, adding that this leads to an overbidding in terms of salary, but also probably for benefits.
In this sense, according to her, the cabin on a desert island hits the mark: it has been talked about a lot, it strikes the imagination and it is a benefit that shows that the employer has the well-being of his team at heart.
Flexible compensation is a concept where the employee modulates his benefits. For example between RRSP contributions, a flexible schedule, a pension fund, a dental plan, more vacation or gratuities.
Professor Marie-Ève Dufour is familiar with the concept, known as “cafeteria benefits” where everyone chooses what they want, according to their needs at the time.
Be careful, she says: as attractive as it is, flexible pay cannot be applied everywhere. “In a unionized environment, we are not necessarily capable of offering this kind of thing,” explains Marie-Ève Dufour.
“We are really in the era of personalization,” says Marie-Ève Dufour.
Group insurance does not meet everyone’s needs, says Jean-François Lessard, co-founder of Tedy, a platform that allows employers to allocate an amount to staff members who can then be reimbursed for expenses according to chosen categories. But all of them revolve more or less around well-being: registration fees for the marathon, paddle board, yoga lessons, even an expense related to pets or a cultural outing.
“People today have individual needs. And the traditional approach doesn’t answer that,” says Jean-François Lessard.
The idea of offering original benefits for the workforce is not new. We remember the gourmet cafeterias, gyms, childcare centers and bikes at the office door that appeared in the 1990s. Tech companies and pub clubs were particularly creative in this area.
“The workplace has changed,” says Jean-François Lessard, of Tedy. According to him, employers who focus on the well-being of their employees stand out.
“It helps build a positive employer brand,” he says.
Around 400 companies of all sizes use Tedy, just 18 months after its launch, according to Jean-François Lessard. Some large ones will add it to the traditional benefits program. Whereas for a very small business, this will be the heart of the benefits program.
The Montreal offices of PwC Canada do not offer a chalet for employees, but you can still afford a stay in kind, in a country house, at the expense of the employer.
How is it possible ?
PwC has a very extensive recognition system in which there are Bravo Points. An employee can put his points in his bank, which he receives when his good moves are noticed.
Each group leader has a bank of points to award, monthly. Not all employee shares have the same value.
These points are then redeemable for donations, services and products, including Airbnb stays – including the cabin getaway.
PwC obviously has a classic benefits system, but several less traditional ones. It ranges from small one-off gifts (Lululemon clothing, gourmet coffees, Cirque du Soleil show, etc.) to more meaningful programs.
Last month, PwC Canada launched its parent coaching program.
“We really want people who are going to become parents to be supported,” maintains Sonia Boisvert, partner and head of human resources at PwC Canada.
Specialized coaching will be provided at each stage of the parental leave process (before, during, on request, and upon return to work) by external trainers who will also support the managers of new parents so that the return goes as smoothly as possible. .
A good benefits program is essential, says Marie-Ève Dufour, because companies that have one (in alignment with their culture) will recruit the best candidates.
“To be able to move towards this, you must first keep your employees”, nevertheless specifies the professor from Laval University.
“If we retain those we have, we have a good chance of going to find people who will adhere to the same culture. »
Hence the importance of knowing the needs of the staff in place, she says. And to answer it.
Intangible social benefits are fundamental, continues Marie-Ève Dufour. Everything about safety, psychology, well-being at work, flexible hours creates an employee experience that will make the company shine, she explains. “And that’s one of the things that have enormous value to individuals. »
Sonia Boisvert, partner at PwC Canada, agrees: the benefits may be fabulous, but something else will convince a candidate to come and work for a company.
What’s missing, then?
“Interesting work,” continues Sonia Boisvert with positive relationships and opportunity for growth.
Non-traditional benefits may be appealing and resonate with a certain audience, but they will never replace basic, essential services…when needed!
That’s what Jean-Nicolas Guillemette, chief operating officer at Dialogue, a firm specializing in virtual health care for employees, maintains.
He himself, a father of three, wouldn’t trade a dental program for a week in a cabin – although he welcomes these kinds of initiatives that allow small businesses to stand out.
For larger companies, the classic Employee Assistance Program (EAP) has its place more than ever in the benefits package, explains Jean-Nicolas Guillemette.
“The major trend of the last three or four years, exacerbated by the pandemic, is mental health issues. Jean-Nicolas Guillemette shares the following statistic: at Dialogue, in 2020, before the pandemic, 7% of consultations were related to mental health issues. Today, the proportion has climbed to around 35%.
For employees, having access to a psychologist or even telemedicine services for the whole family is an advantage to consider. Especially if they don’t have a family doctor.
