The following is a guest post by Megan Webb-Morgan.
When it comes to hiring the most talented members of Generation Y, you need to offer them the benefits they value most. Unlike previous generations, this new group of workers doesn’t place salary as their number-one priority in choosing a job.
Rather, Gen Y values work-life balance, access to technology, and greater 401(k) security through their employee benefits.
Employer Support
As a result of the economic downturn, Generation Y is well aware of the importance of financial security. They know that an injury, illness, or accident can put them out of work and lead them to bankruptcy.
However, they don’t look to high salaries as the sole means to prevent financial issues. Rather, 43 percent of workers count on their employee benefits to provide them with a safety net in the event of an emergency.
- Gen Y doesn’t mind paying more in order to acquire a comprehensive benefits package. Fifty-four percent of small business employees want a wider array of benefit options, including health, dental, vision, disability, and life insurance — and are willing to pay the full premiums for them.
- Retirement packages – including employer contributions to employee 401(k) plans – have increased in importance to young workers. Only 15 percent of Gen Y workers expect to be able to count on social security benefits when they retire; they are planning for the future by looking for benefits packages that help them save more for retirement. (MetLife)
Flexibility
Having the flexibility to maintain an optimal work-life balance is of high value to Gen Y. Rather than continuing a conventional working pattern based on hours seated at a desk, they want their performance to be based upon the amount of work they get done.
They want to perform this work during compressed or reduced workweeks, at ad hoc working hours, via telecommuting from home – or a mix of all of the above.
- 56 percent prefer to choose when to work, and 79 percent want to be mobile rather than static (Johnson Controls).
- Being able to choose when and where to work, as determined by their work responsibilities and personal needs, ultimately helps Gen Y to achieve a sustainable work-life balance.
Some companies have made great inroads in helping their Gen Y employees balance their work and family life. The SAS Institute provides their employees with a company paid vacation of up to four weeks, unlimited paid sick days, flexible work schedules, and 11 paid holidays. Facebook takes family seriously; they provide new parents with four months of paid parental leave, reimbursement for daycare and adoption fees, and a $4,000 cash grant to help during the adjustment.
Technology
The 2011 Cisco Connected World Technology Report found that, when evaluating job opportunities, 40 percent of Gen Y members consider access to mobile technology and social media as more valuable than salary.
- Nearly 70 percent of younger employees consider mobile applications important to their daily lives; however, 27 percent primarily use mobile applications for work purposes.
- Although 40 percent of surveyed employees claimed that their company’s policy forbade using company-issued devices for non-work activities, 71 percent have broken that policy.
- 66 percent of Gen Y feels that “employers should not track employees’ online activities — it’s none of their business.”
There are a number of benefits that Generation Y values greater than a high salary. Younger workers who are satisfied with their benefits (72 percent) feel a stronger sense of loyalty to their employers than those who are not (46 percent). Some of these benefits – such as flexible scheduling access to social media and mobile technology – don’t cost any money to implement, but can greatly increase employee satisfaction.
About the Author:
Megan Webb-Morgan is a web content writer for http://www.resourcenation.com. She writes about small business, focusing on topics such as business sales. Follow Resource Nation on Google+ and Twitter, too!
