Proving the Value of Your Benefits Investment
Employee benefits represent a significant investment, so it's crucial to measure and demonstrate their return. Here's how to build a business case with data.
Key Metrics to Track
- Retention rates: Compare turnover before and after implementing benefits
- Engagement scores: Monitor changes in employee satisfaction surveys
- Recruitment efficiency: Track offer acceptance rates and time-to-hire
- Platform usage: Measure active users, redemptions, and savings generated
- Absence rates: Benefits focused on wellbeing can reduce sick days
Calculating Financial Impact
The cost of employee turnover is typically estimated at 50-200% of annual salary. If your benefits programme reduces turnover by just 5%, the savings can far exceed the programme cost.
Qualitative Benefits
Don't forget to capture qualitative feedback through:
- Employee testimonials and success stories
- Focus groups and feedback sessions
- Exit interview analysis
Reporting to Stakeholders
Create a quarterly benefits report that combines quantitative metrics with qualitative stories. This helps leadership understand both the numbers and the human impact of your programme.