For years corporations and companies have allocated large sums of money investing in customer loyalty through programs, customer service operations, and incentives. Meanwhile, not nearly as much consideration has been placed on an extremely important segment that has proven, direct correlations to customer retention, specifically: Employee loyalty and engagement.
Below are some vital statistics that prove that having good employee and executive benefits in place are of paramount importance:
According to Bloomberg BNA, $11 billion is lost annually due to employee turnover
Dissatisfied employees cite concerns over salary (66%) and not feeling valued (65%) most often as reasons for their dissatisfaction (CareerBuilder)
80% of employees report being stressed out by work (Nielsen)
Nearly 40% of employees said they wished their employer cared more about their work/life balance (Virgin Pulse)
50% of employees cite benefits as an important reason they remain with their current employer (MetLife)
Nearly 40% of employees say having a wide selection of benefits would make them feel more loyal to their employer (MetLife)
What turnover really costs:
For entry-level employees, it costs between 30%-50% of their annual salary to replace them
For mid-level employees, it costs upwards of 150% of their annual salary to replace them
For high-level or highly specialized employees, you're looking at a 400% of their annual salary (ERE Media)
The bottom line is: take care of your employees, and your employees will take care of you.
Google is one company that has mastered the employee loyalty category. While it has been reported that Google spends a reported $72 million on free employee food per year, not all companies can afford to offer Google-esque benefits.
Providing a concierge service to your executives is by far one of the best perks that you can offer.
While most companies offer the obligatory benefits such as medical, dental, etc., these are benefits that actually increase employee retention and loyalty.