Benefits Can Also Be What Causes Them to Stay
Enticing young people to choose careers in construction is an industry-wide goal. Construction companies continually face the challenge of finding and keeping workers. As older generations retire, companies must rely on younger workers to take their place. But these workers have different goals and priorities from those born before the digital age.
According to a report on millennial and Gen Z workers, 68% of young workers say they either strongly or somewhat view work to make a living but not a major part of their personal fulfillment. It’s not surprising given that statistic that many young people don’t commit to a job long term. In fact, almost half of respondents said they plan to look for a new full-time job in the next year.
Benefits can play a big part in recruiting and retaining young people. According to the report:
- 42% of young people say benefits are important when considering a new employer.
- 39% say better quality benefits are important for staying with their current employer.
Adding benefits that young people value most can positively impact your recruiting and retention efforts.
Benefits Young People Value Most
Young workers are from the Millennial and Gen Z generations. Millennials were born between 1981 and 1986 and Gen Z between 1997 and 2012.
As the youngest generation, there may not be a huge Gen Z presence in the workforce today, making up only about 11%, but that will soon change. Generation Z may be the tipping point for diversity in this country, given its makeup of at least 48% racial or ethnic minorities. Technology is first nature to Gen Zers as they were born with devices in their hands—or were gripping onto them before their first birthdays. Equipped with tools that excite them, their instincts are strong and potential is limitless.
Millennials currently make up about 35% of the working population, making them the largest working generation. Millennials have come of age and are now in their working prime, from their late 20s to just turning 40. Millennials are the first generation to become adults after the Internet had made an indelible mark on business and culture, Millennials are generally tech-savvy and digitally focused. Immigration has helped feed the Millennial workforce, adding to its already diverse base.
While they have several differences, they share similarities in the workplace. Both generations are the least satisfied with their jobs, 4.6 out of 10 and 5.2 out of 10, and that satisfaction and value for the job could be tied to benefits. Both millennials and Gen Z prioritize flexibility and paid time off. Other top benefits include:
- Health Insurance
- Retirement Savings Plans
- Paid Maternity/Paternity Leave
- Perks like Gym Access, Discounts
- Health Savings Account
- Child Care of Child Care Assistance
- Professional Development
- Student Loan Payment Assistance
- Life and Disability Income Insurance
- Social/Emotional Mental Health Support Programs
- Tuition Support for Continuing Education
- Transportation Stipend or Paid Parking
While most companies offer health insurance and retirement savings plans, other benefits and perks should also be evaluated.
Flexible Working Hours
Offering flexible working hours helps employees find some balance between life and work. Examples of flexible working hours includes:
- Allowing employees to work from home
- Varied arrival and departure times
- Two-week long vacations with a couple of hours of work each day
- Working early before the kids go to school
- Taking a break during the day and finishing up at night
- For employees who can’t work from home, a flexible work schedule includes:
- Give personal tech time breaks so they can remain connected with family
- Allow employees to work together to self-schedule or switch shifts
- Provide a competitive amount of PTO
- Encourage managers to lead by example by prioritizing family obligations and taking PTO
Student Loan Repayment
With 43 million Americans owing student loan debt, offering to help employees pay off their student loans is a great incentive. Student loan repayment options can include diverting some 401(k) matching funds to student loans or providing a flat contribution to the employee, either with a cap or without. For example, some companies offer signing bonuses, recurring payments directly to lenders, service-based assistance tied to specific careers and contributions tied to retirement savings.
Health and Wellbeing Support
Health and wellbeing support can be categorized as those fringe benefits that allow employees to live better lives, both mentally and physically. SHRM’s Employee Mental Health in 2024 Research Series, found that 44% of 1,405 surveyed US employees feel burned out at work, 45% feel “emotionally drained” from their work and 51% feel “used up” at the end of the workday. Offering health and wellbeing support can support employees and improve performance. Benefit plans covered under the Affordable Care Act all include mental health and substance abuse counseling as part of their essential services, but employers can go above and beyond this by offering:
- Gym memberships
- Fitness trackers
- Health screenings
- Weight loss competitions
- Smoking cessation programs
- Stress management education
- Yoga classes
- Art classes
HR Tech Can Help
Benefits, especially those that aren’t traditional like daycare and student loan reimbursements, can be a way for employers to recruit more young people while recognizing their current employees for their hard work and contributions. HR tech, like Arcoro’s Benefits Management software, can enhance communication and transparency company wide. You can also navigate compliance, secure, manage and transfer high-compliance data from internal and external systems, including sending data to insurance carriers, payroll providers, ERP systems and more.
If you’re ready to learn about how HR tech can help you streamline benefits administration, including updating your offerings, reach out to use to learn more about Arcoro’s Benefits Management module.
