Recruiting

Why Addressing Financial Well-Being Is Essential in Hiring

Between healthcare costs, student loans, and increasing costs of living, keeping your workers’ financial health in mind makes a big difference for everyone. And that difference might just mean an easier time recruiting and less turnover.



Looking for jobs can be exciting, stressful, inspiring, and exhausting all at once. While jobseekers are scouring job boards and skimming postings, they have a lot to consider, and financial well-being is one of their biggest priorities when it comes time to weigh some options.
Not to mention, they have to consider how they fit in the role, what companies best align with their values, how they can grow with an employer, and how they stand out—all while looking at how accepting the position will impact their financial well-being.
Employers need to address these concerns to attract top talent. Compensation is just one aspect in the jobseeker’s world. Focus on communicating how your company prioritizes the overall financial well-being of the entire workforce. To capture their attention, you need to speak directly to their financial worries.
Let’s take a look at jobseekers’ top financial concerns and how talent acquisition professionals can address them:

Rising Healthcare Costs

Health care in the United States is in the middle of some major transitions. With the Affordable Care Act on the brink of repeal, many employees and employers are concerned about the future.
Another pressing matter is the rising cost of insurance. The 2016 Kaiser/HRET Employer Health Benefits Survey found that the average family plan costs $18,142, up 3.4% from 2015.
What’s more, most HR professionals aren’t properly informing their staff about their benefits.
A February 2016 survey conducted by the International Foundation of Employee Benefit Plans (IFEBP) found that most employees are confused by their benefits. Aflac’s 2015 WorkForces Report concurred, finding that a mere 20% of employees feel informed enough to make good decisions about their benefits.
Solution: How can you attract talent with competitive benefits if you can’t properly explain benefits to your current employees? Start with your current employees first. When you can clearly explain your healthcare benefits to them, you can then communicate them to candidates.
Lots of companies stick to methods that do not work. The IFEBP survey also found that 80% of employers don’t think their employees even open or read information they provide about them. What’s more surprising, less than half of the organizations surveyed said they have tried nontraditional communication like video, social media, or games.
Try using different kinds of educational materials to better engage your staff with their benefits information. For example, create a notice board in high-traffic office areas, and refer employees to an online portal that provides them with an interactive experience while they’re researching their healthcare plan options.
Then, promote your benefit options to candidates. Social media is a great tool for sharing healthcare information and even telling real-life stories from your current employees. They can share testimonials about how helpful their healthcare plan was during a specific time of need.

Pressing Student Loan Debt

The rise in student loan debt is staggering, and it’s hurting the financial well-being of millions of people. As more and more young professionals are entering the workforce with thousands of dollars in debt, employers are looking for ways to attract them.
Iontuition’s July 2015 survey found that 55% of student loan holders said they would rather see health benefit contributions from their employer go toward paying off their debt, and 49% said they would rather have student loan payment contributions than a 401k plan.
Solution: Look into services like student loan debt assistance, where your company can contribute to your employees’ student loan payments. The demand for this kind of debt relief is high, and when you can promote a unique service like this, you’re staying competitive in the war for talent.
Highlight this benefit, specifically when you’re looking to recruit younger employees for lower-level positions. Explain how much time and money you can save them. For example, if you contribute a set amount of money every month toward repaying their loans, you can calculate how much faster they will get out of debt and the amount they will save on interest.

Living Paycheck to Paycheck

Many people feel like they’re living week to week, barely making it to the next payday. This makes it hard for them to live a comfortable life.
The American Psychological Association’s Stress in America report from February 2015 looked at the degree of financial stress in the United States. It found that 72% of adults feel stressed about money at least some of the time, and 22% experience extreme financial stress.
Solution: Offer financial consulting and coaching through your employee assistance program (EAP). Guide employees to better financial well-being with tools and resources, like educational content or workshops and seminars that help them learn budgeting, credit management, and retirement planning.
Promote your benefits and perks, and show how your company puts the employee first. You want talented candidates to know they are applying to an organization that can help them find a better sense of financial well-being.
How are you addressing the financial concerns of jobseekers in order to attract them?
Chris Janko is the Vice President of Strategic Alliances at LifeWorks. www.lifeworks.com

Leave a Reply

Your email address will not be published. Required fields are marked *