For decades, many hourly workers drew the short straw in regard to employee benefits packages, not enjoying the same perks as their full-time salaried counterparts. However, the Covid-19 pandemic turned this paradigm on its head, and now hourly workers are in short supply. Employers find themselves fundamentally rethinking the way they attract, reward, and retain skilled employees.
The benefits previously beyond the reach of hourly workers included paid vacation time and sick leave, retirement and health insurance benefits, opportunities for career advancement, and shift flexibility.
Ironically, people working on a fixed salary are generally far less emotionally, financially, and physically stressed than their peers who work hourly shifts.
In this article, we’ll shine a light on some tactics that forward-looking employers are implementing to make their businesses the place that hourly workers want to work.
Most employers don’t include medical insurance in their benefits packages for part-time hourly workers, as it is not required by law. In the long run, skimping on health insurance benefits can be detrimental to both employees and employers.
If an employee can’t afford to look after their physical health, there’s a good chance it will affect their ability to perform their job to the required standard. Low productivity levels impact a business’s bottom line, which is why it’s a good idea to at least partially cover employees’ healthcare costs.
Imagine that you’re involved in an accident or are affected by a debilitating illness that makes it impossible for you to carry out your job responsibilities, either temporarily or permanently. Or, if you’re your family’s breadwinner, imagine for a moment that you were to succumb to a severe injury or illness. Just the thought of that is enough to scare most people.
We recommend that employers consider all the aspects of the working conditions within their industry in addition to federal and state law requirements when adding death and disability coverage to their hourly employee benefits package.
If employees have this coverage, they know that their employer will continue to pay a portion of their income until they’re fit to return to work. In the unfortunate event of their death, the employee’s beneficiaries will receive payment to fill the financial gap caused by the loss of their loved one.
Over and above health benefits, many employers offer dental and vision coverage to their hourly employees.
Dental insurance covers routine visits to the dentist for teeth cleanings, fillings, and minor surgical interventions. Dental coverage is generally less expensive than health insurance, so it’s a sensible option for employers and employees.
Vision coverage offers full or partial coverage for eye exams, eyeglasses, and corrective lenses.
Now and then, we all need a day off. It could be to watch a child’s sports game, take an elderly parent to a medical appointment, or stay in bed to get over a nasty cold.
Unfortunately, too many hourly workers cannot take time off for these events because they’ll end up sacrificing their pay.
Why not formalize a certain number of paid days off for your hourly employees each year? You’ll reap the rewards in terms of their motivation and productivity!
For most businesses that employ hourly workers, the option of letting employees work from home isn’t feasible.
But there are other options.
Flexibility for these employees can take the form of less rigid work schedules, which gives people the freedom to work when it suits them.
Employers can also remain flexible by allowing employees to swap shifts through a platform like Payactiv Connect, if an unforeseen personal commitment or health issue arises. Additionally, many hourly workers will welcome the opportunity to pick up additional shifts from time to time, giving them a little extra in their pay packet that week.
Most people have a desire to grow and better themselves personally and professionally. Many see continued education as a route to realize their dreams, but too often, the cost of studying is prohibitive. Educational aid can be a great incentive to offer employees.
This aid could take several forms: as the employer, you might offer to cover the cost of employees’ college courses or degrees. Alternatively, you could subsidize your employees’ professional training courses or certification exams.
If you have employees who show potential to grow and add value to your business, investing in their ongoing education is undeniably in your best interest – and of course, in theirs.
EWA allows employees to access the money they’ve already earned and avoid unnecessary high-interest loans, overdraft fees or late fees. Payactiv offers flexible options for accessing EWA funds. Funds can be:
The best EWA providers have a free option for accessing funds, keep their fees to a minimum, and are not transactional in nature.
EWA is particularly relevant and valuable to lower-income, hourly-paid workers who live from paycheck to paycheck. Such individuals frequently find themselves exposed to situations where unplanned but significant expenses for childcare or healthcare can put family finances under pressure.
No matter the types of hourly employee benefits and perks you settle on for your business, make sure that everyone in the organization is eligible to benefit from them. If benefits aren’t inclusive, low morale and underperformance may result.
Payactiv is the partner of choice for more than 1,500 businesses seeking to help their people fully engage in both work and life. Our all-in-one livelihood platform, takes a holistic approach to improving financial wellness and has helped employees save more than $400 million by avoiding unnecessary payday loans, overdraft and late fees.
Learn more about Payactiv’s Service, or book your demo now.
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