Hend Dabash
Before I started working at Reward Gateway, I likely would have struggled to think of even five employee perks better than a pay rise. I mean, honestly, who doesn’t love a bigger salary? But then I looked at what ‘pay rise’ actually means today, and it became a lot easier as we’re not talking huge figures.
Even though it may be a small amount to an employee (and yet, still welcomed), a company-wide pay rise can be a large cost to the business.
In 2024, the Australian Bureau of Statistics reported that average wage growth was 4.1%, which means that on a salary of $100,000 per year that's a boost of just over $4,000. With cost of living continuing to hurt Aussie workers, this rise isn't going as far as it once did. Compounded with the tough economic climate and many businesses having to cut costs, a company-wide pay increase may not be the best route forward.
So with this in mind, let’s take a look at what employee benefits are available that can add more value than a pay rise!
Some of the below corporate benefits we've introduced at Reward Gateway and others I've seen at the more than 4,500 clients we work with globally. As an employee engagement consultant, I’ve spoken with loads of Australian companies to see what they want most in their benefits. And what I’ve learned? Everyone views different things as benefits.
So, in no particular order:
1. Flexible working
Flexible working gives employees the benefit of working at a time and place that best suits their lifestyle needs. This may be earlier or later starts for some people or working from home for others.
The flexibility to work at a time that fits in with other commitments such as childcare, fitness classes, study or family events can mean so much more than a simple pay rise.
Our Engagement Paradox Report found that close to 90% of full-time workers that can WFH feel a greater sense of wellbeing and work-life balance and have more job satisfaction now that they can work from home.
Additionally, 83% of full-time workers that can WFH believe they are just as productive working from home as on-site or in the office.
Despite this, 50% feel that management or senior leadership in their company view working from home unfavourably or associate it with low performance.
2. Food at work
This seems like a simple one but for me, having food available at works gives me one less thing to think about in the morning. I know that when I need it the kitchen is stocked and I can grab breakfast or even lunch.
3. Increased parental leave
Time with family is always important but time with family when you have a newborn is crucial.
Whether it’s primary or secondary carer leave, it’s so important that an employee feels they can spend much-needed time at home without eating into annual leave or feeling pressure to get back to work.
4. Leave purchasing option (sometimes called holiday trading)
Giving employees the chance to decide for themselves what is important when it comes to salary and PTO is an easy way to build employee engagement with a great perk. I see it every year at Reward Gateway when employees are making their decision on purchasing (or selling) their PTO in what we call “Choose Your Package.”
Some employees sell their time off so they get more salary whereas others will buy as much leave as they can so they can have more time off. Either way, having this control of your overall package means so much to the team.
5. Employee discounts (to make your money go further)
As an employee benefits professional, this is a no brainer for me. Introducing an employee discount solution really gives employees the ability to have uncapped savings on their everyday spend.
Life is getting expensive so any saving an employee can make is important and with a well-managed discounts benefit employees can save on everything from everyday groceries through to big-ticket items such as holidays and electronics. The cost to an employer is very small when compared to the saving an employee makes.
Here are a few quotes from Australian clients that partner with us to ensure their people make the most of their money through an effective discounts program:
“Since launching, Reward Gateway has been right at the heart of our approach to staff discounts and wellbeing. The system itself really appeals to staff at all levels of the organisation, and I personally love checking the app for discounts at my favourite stores." - Robbie Verrall, Early Careers & Leadership Capability Programs Leader for Honeywell Pacific
"The other thing I love is the savings we have access to across hundreds of different retailers available on the platform. I'm a frequent flyer with our Reward Gateway discounts, and I've seen others across this organisation save thousands of dollars since we launched. In times like these with cost of living increasing, saving money on simple things like groceries and fuel makes such a huge difference in the long run. While my role is responsible for promoting the platform across the organisation, I really do appreciate having access to this as an employee as well." - Emily Clark, HR Advisor for P&N Bank and BCU Bank
"It was just an opportunity for us to put some really great discounts in the hands of our people across so many different products that they wouldn't normally have got through working for this company. So from day one, just being able to log on to a mobile app when you're standing at the checkout, getting your shopping done. It was just a no-brainer really to be able to say to our people, "here is the best benefit you're going to get this year." And it was actually really quite surprising to me how many of our people took up the charge. They have claimed their accounts. They've logged on to the platform. They've downloaded the app, and they're spending up big." - Steven Elvin, Employee Benefits Leader for Flight Centre Travel Group
6. Wellbeing bonus
We introduced a wellbeing bonus at Reward Gateway and it’s been a huge hit. Every employee has an allocated amount of money that they can spend on their own wellbeing.
This benefit has been hugely successful as it not only helps towards your employees wellbeing but it also lets the employees focus on themselves.
When looking at expenditure, it’s all too easy to ignore your own wellbeing needs when compared to other costs, so often people don’t purchase a product or take part in an activity that contributes towards their own fitness or mental health.
By allocating a set amount that is specifically for these things, employees are able to look after their wellbeing without feeling guilty. We’ve seen people spend it on retreats, bikes, health insurance and even surfboards!
7. Wedding/child bonus
Having a child or getting married is expensive and with expense comes additional pressure, which nobody needs.
One-off bonuses for employees getting married or having a child can be hugely valuable as they provide a cash benefit at a time that it is most needed.
These bonuses mean employees may now be able to hire a photographer, get the dress they dreamed of, buy a new cot or buggy or something else that they otherwise may have done without. As somebody who has made use of both of these bonuses I really can tell you they make a huge difference.
8. Travel subsidies
Travelling to and from work can be expensive, and it’s an expense that nobody likes. Travel subsidies allow employees to buy annual travel passes upfront and pay it off over the annual salary can save employees hundreds each year.
Not only does it help save money but it also means your travel is organised for the year and you don’t have to keep worrying about updating tickets etc.
9. Subsidised or full medical insurance
I’ve worked with companies who provide full or subsidised medical insurance for employees. This is hugely popular and valuable as not only does it take the expense burden away from employees but it also gives them the piece of mind that should unexpected medical requirements come up, they are covered and can concentrate on getting well again. (Of course, this particular benefit varies by country.)
10. Casual dress code
This may seem like a strange one, but introducing casual dress codes can have a really positive and valuable impact for employees.
Not only can it introduce a more relaxed and less stressful work environment, but it can also take away the financial burden of purchasing business outfits such as suits and shirts, which can be expensive.
It’s not possible to dress casually everyday, but for those days when employees aren’t meeting clients or customers, then allowing them to dress casually can be really positive.
Employee benefits to drive employee engagement
Obviously, this list isn't exhaustive, there are so many other employee benefits that your organisation could leverage to improve staff wellbeing, boost employee happiness and drive engagement and productivity.
If you'd like more employee benefits ideas, check out our eBook: 15 Benefits to Truly Make a Difference in Your Employees' Lives.
Not convinced this should be a priority? Or why you need to invest in benefits and initiatives that drive employee engagement?
Our Engagement Paradox Report found that 87% of Aussie business and HR decision makers say that poor employee engagement impacts employee performance, and therefore business performance.
Additionally, these decision makers on average think decreased employee engagement costs their business just over $32,000 a month, with 52% estimating that decreased employee engagement costs their business $20-100k each month.
That's a huge ongoing cost to your business that could be resolved by rethinking your employee benefits program and making real change to boost your Employee Value Proposition.
If you want to discuss what this could look like for your business, reach out to me and the team today.