Small businesses are offering better employee benefits and perks in an effort to attract and retain talent.
The workforce is competitive, and workers are always searching for a new position that can offer more including higher pay and better incentives and benefits.
There are Employee benefits, that companies are not required to offer but do to complete for the the staff they need. In addition, there are compulsory perks employers in the USA have to provide. Both Federal or state law requires that employers offer a set of standard benefits to all employees.
Benefits That Employers are Mandated to Offer
Federal or state laws aim to protect employees, and this is done by requiring employers to offer a set of standard benefits. The benefits and “perks” that are mandated are:
Minimum wage laws dictate the lowest wage that an employer can offer employees. Cities and states can pass their own laws to increase minimum wage, which, at the federal level, is at $7.25 an hour.
Additional required benefits include:
- Unemployment benefits
- Benefits under the Family and Medical Leave Act
States are starting to require employers to carry disability insurance, but not all states require disability insurance. Workers’ compensation provides compensation for injuries occurred while on-the-job.
Disability insurance will reimburse disabled workers for some or all of their salary while recovering from injury or illness.
The federal government also offers SSDI, but certain requirements must be met.
“Millions of Americans rely on SSDI benefits to help meet their monthly needs and the advantages of becoming approved for Social Security Disability are many.
The program provides consistent income so recipients can cover their monthly expenses, medical coverage that enables them to undergo required medical treatments, and vocational rehabilitation so they can pursue educational opportunities that make it possible to reenter the workforce,” explains disability attorney Russell D. Hedges.
Perks and Benefits That are Not Mandated
Did you know that employers are not required to offer health insurance, but most entities with over 50 employees will be required to offer benefits? Dental care plans are not required either. Employers also offer perks that many don’t realize are not required, such as:
- Paid holidays
- Paid vacation
- Pay raises
- Severance pay
- Hazard pay
Profit sharing, stock options, company holidays and tuition assistance are all benefits or perks that are not required but are being offered by the world’s top companies.
Life insurance and retirement plans are also a perk often offered, but they’re not required by law.
Companies try and remain competitive by offering life insurance and retirement plans as well as paid vacation to attract talent.
Large tech companies have been competing against each other, redefining the benefits that the industry offers. Google, for example, offers:
- Free meals
- Hair cutting
- On-site medical staff
And you’ll find other companies offering mass transit reimbursement or even shuttles to and from the workplace. There are a lot of additional benefits that companies are offering.
A small, local dentist of mine offers a yearly paid trip for all employees. This is a nice perk, and while the group may attend a meeting or two while on vacation, the rest of the expenses are fully covered by the employer.