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Employee Engagement Practices: Welfare Is Important To Retention Rates

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Vilas Pawar
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31 views2 pages

Employee Engagement Practices: Welfare Is Important To Retention Rates

Uploaded by

Vilas Pawar
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as DOCX, PDF, TXT or read online on Scribd
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Name: Vilas Pawar

Roll No:44

Div: A

Employee Engagement Practices


Employee welfare entails everything from services, facilities and benefits that are
provided or done by an employer for the advantage or comfort of an employee. It is
undertaken in order to motivate employees and raise the productivity levels.

In most cases, employee welfare comes in monetary form, but it doesn’t always bend
that way. Other forms of employee welfare include housing, health insurance, stipends,
transportation and provision of food. An employer may also cater for employees’ welfare by
monitoring their working conditions.

Importance of employee welfare


Employee welfare raises the company’s expenses but if it is done correctly, it has
huge benefits for both employer and employee. Under the principles of employee welfare, if
an employee feels that the management is concerned and cares for him/her as a person and
not just as another employee, he/she will be more committed to his/her work. Other forms of
welfare will aid the employee of financial burdens while welfare activities break the
monotony of work.

An employee who feels appreciated will be more fulfilled, satisfied and more
productive. This will not only lead to higher productivity but also satisfied customers and
hence profitability for the company. A satisfied employee will also not go looking for other
job opportunities and hence an employer will get to keep the best talents and record lower
employee turnover.

During employment, the offered benefits will determine whether an employee


commits to an organization or not. As such, good employee welfare enables a company to
compete favorably with other employers for the recruitment and retention of quality
personnel.

The quality of well-being that employees of a specific company enjoy is a reliable


measure of the health of that company as a whole. To keep a workforce mentally and
physically healthy comes down to several types of services, as well as benefits. There are a
few things an employer can do to be mindful of employee welfare.

Welfare Is Important to Retention Rates


Happy employees stay. According to a Center for American Progress study, the cost
to replace an employee who makes $10 an hour is roughly $3,500. The higher the wage for
that position, the higher the costs are to rehire and retrain a new person.Factor in the time that
it takes to advertise for a new position, screen the resumes, interview prospective candidates
(often, multiple times), and finally to introduce someone new to the ongoing working
environment and retrain them – this adds up to a loss of money for the business in a big way.
The longer people stick with their jobs, the more proficient they become, and that has a huge
impact on productivity. That directly affects the way a company makes its money. Seasoned
employees also make fewer costly mistakes.

Welfare Is Important to Company Culture


Tech companies have done more than bring the latest and greatest innovations and
inventions to our lives. Such companies have influenced how workplaces are run, because of
factors such as work-life balance, flexibility and embracing cultural diversity.
Year after year, Google wins international awards, citing its excellent corporate
culture. By using its own analytics, Google discovered the correlation between certain
amazing perks and higher productivity. Certainly, a company such as Google wants to not
only stay ahead of the tech pack but also to take the lead, and it has found that this is the way
to do it. From offering massages to having an amazing cafeteria to opening up schedules for
maximum flexibility, Google has realized that employee welfare is the way to get and stay
ahead of its competitors.

Welfare Starts a Conversation


World-of-mouth advertising cannot be bought. People talk online they way they used
to, and that they still do. They chat in grocery stores and in waiting rooms, and when they do,
they talk about companies that have been good to them and those that have been terrible.
By fostering a genuinely caring atmosphere that focuses on employee welfare,
companies not only retain existing employees and gain new ones – they also buy brand
loyalty. Starbucks is just one such example. The coffee house conglomerate pays more than
minimum wage on average, no matter what country the coffee house is in. The stock options
and comprehensive healthcare options are easily available and are quite generous. Starbucks
is also known that it pays for education. This type of welfare awareness creates brand
awareness that has very positive associations.
Treating employees like the diverse human beings they are seems obvious, but sadly,
it is becoming less and less common, as companies become more global. Bottom line: Paying
attention to employee welfare makes ethical and fiscal sense for everybody.

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