As the search for millennial-aged talent becomes increasingly competitive, employers are upgrading benefits packages to include unique offerings. Millennials are now being courted with options ranging from pet insurance, to student loan repayment and financial wellness counseling, according to a report from CNBC.
With unemployment at a near-record low, gaining millennials’ interest to work for a specific company can be a drag, even for the big guys on Fortune’s “100 Best Places to Work” list. Among those on the list, more than half offer paid time off for their employees to do volunteer work. Some companies will go as high as 56 hours of paid volunteer time per year. This concept isn’t a loss for employers, either. It helps millennials stay grounded, and taking on volunteer opportunities with colleagues can build upon stale, awkward team-building exercises.
Companies are also leveraging the fact that everyone loves their pets. Millennials are more likely to find companionship in pets than have a spouse or child, with an astounding 71 percent of men ages 18-to-34 owning a dog and 35 percent of women owning a cat. Big names like Microsoft, Ikea, and Hewlett-Packard are offering pet insurance as a unique way to grab and retain prospective employees, i.e. millennials.
The stereotype of millennials consistently hopping from one job to another has proven largely false, but that doesn’t mean sticking with the traditional benefits package is the best way to retain a young employee. The Red Alert Politics “Millennial Misery Matrix” has student loan debt sitting at just above $37,000 per individual on average, and total student loan debt topping $1.4 trillion dollars.
Wisely, some companies are leveraging student loan repayment as a benefit. CNBC reported Fidelity Investments will pay up to $2,000 per year directly to student loan servicers up to a maximum of $10,000 total per employee. PriceWaterhouseCoopers offers employees $1,200 per year to directly pay down their student loan debt, up to a total of $9,000.
Crippling student loan debt often compounds with daily budgetary struggles which can unnerve even the most fervent financial hawks of the workplace. A recent survey found that 64 percent of millennials are stressed about their finances – greater than any other demographic group. Companies are now offering more than just a traditional retirement plan. American Express and the Home Depot both offer a financial wellness program that helps employees save for daily necessities and prevent financial stress. The number of companies likely to suggest this type of service to their employees as a benefit is likely to increase.
As millennials dominate more of the workforce, adequately meeting demands of this younger age group is critical, not just from a marketing standpoint, but for acquisition and long-term company growth perspectives as well. In particular, this will help small-business owners, as millennials consistently indicate that they will work for less salary if they have flexibility and additional perks. Shifting company culture to meet different generations expectations is a respectable change that displays the beauty of the free market. Companies willing to gamble on new incentives to improve quality of life for their employees may just win big in the end.
