As an employer, you would constantly look for ways to boost the morale of each employee in your company. Whether you have a small start-up firm or a large-scale company, coming up with ideas to motivate employees is one of the most challenging and significant tasks.
There are many ways to inspire employees in an organisation and some of the common ones include financial incentives, recreational activities, appreciation of their work through salary hikes, monetary rewards, increase in responsibilities, free services such as gym membership, food, etc.
One of the most effective and sustainable ways of motivating an employee to join your company or perform better in your company is the provision of beneficial financial instruments or financial products. There are many individuals who would not be ready to apply for certain financial tools unless someone provides it to them for free or at a discounted price. As an employer, you can take this opportunity to attract people to work for your company.
How do Employers Provide Financial Support to Their Employees
Typically, employers enter into a partnership with banks, non-banking financial corporations, and insurance companies so that their products are offered to employees at low prices. Some of the common financial instruments that employers in India offer to their employees include life insurance, health insurance, two-wheeler insurance, personal loans, home loans, and car loans.
When you offer these investment options to your employees for free or at minimal costs, your employees will get additionally inspired to perform well. They will have a sense of assurance that they are financially secured and that they can take care of personal and family financial emergencies without getting stuck.
Moreover, your employee can apply for each of these products through a very simple and minimal process. In most organisations, the human resource (HR) department takes care of the application procedures. Nevertheless, the employee will most certainly be able to enjoy the benefits of these financial tools entirely. Hence, you can use this point to highlight the advantages of getting insurance or loans with the help of an employer.
How to Provide the Right Financial Products Sensibly to Your Employees
As an organisation, you should accurately decide how to distribute these instruments to your workforce. You will have to evaluate and choose the products that will be relevant to your company. To make a substantial judgement, you will be required to assess your organisation’s vision and financial blueprint. Let us take a look at some of the options that you can choose from:
1. Offer group term insurance plans: You can apply for any group life insurance plan or group term insurance plan to your employees. Such a plan will offer insurance coverage to your employees and in case something unfortunate happens to them, their family members can obtain coverage. These plans are widely offered to employer-employee groups. Under such a plan, there will be a group administrator who will get the master policy and the initial premium will be paid by this administrator. Each member of the group can then choose their sum assured.
2. Buy employee health insurance or group medical insurance: One of the best ways to be employee-centric is to purchase a group health insurance plan in order to protect the health of your employees. You can show that you genuinely care about your employees’ health. These policies even cover hospitalisation bills of employees’ family members. There are some that cover maternity and pre-existing illnesses too! Keeping your company goal, company budget, and your employees’ specific needs in mind, you can pick a suitable group health insurance plan.
3. Get liability insurance to ensure a safe working atmosphere: If you have a factory or a manufacturing facility in your organisation, you will need to be extra careful. It is important to take good liability insurance policies in order to offer coverage to employees for occupational accidents, permanent or temporary injuries, disablement, etc. This will help your employees feel safe and secure even if they are operating machines or other risky tools to produce output. It will also encourage them to maintain safety and discipline in their workspace.
4. Collaborate with banks for loans: As an organisation, you can join hands with banks or NBFCs to provide loans at competitive interest rates. You and the lender can fix certain guidelines about collaterals or the repayment period. Assume your employee wants to go abroad for an official project, and he or she is unsure of his or her finances for personal purposes while living abroad. You could ask him or her to apply for a personal loan through the company. Your employee may also be able to enjoy reduced interest rates.
5. Take vehicle insurance for company-owned vehicles: Keeping your employees’ safety in mind, you can choose to apply for motor insurance so that when they utilise company-owned vehicles for official purposes, they are not held liable when some mishap occurs.
By following these simple and affordable strategies, you will have an authentic and transparent company. Your organisation and its employees can stay positive and healthy, and also produce flawless output for years to come!