How to become an employer of choice

As an employer or business owner, your goal isn't just to promote your organization's products or services. You also need to promote your organization as a desirable workplace. After all, recruiting and retaining top talent is essential for growing your business.

Becoming an employer of choice means more than offering a competitive salary. It involves creating a positive work environment, building an outstanding employer brand, and crafting a strong company culture.

In this article, we'll go over five strategies to help your organization become a top employer.

In this blog post, you'll learn:

• The benefits of becoming an employer of choice.
• The most in-demand employee benefits.
• The impact of employee recognition on fostering a happier and more productive workforce.

1. Define your ideal employee

The first step toward becoming an employer of choice is defining what type of person you're trying to hire. Are you seeking someone who aligns with your company's mission, vision, and core values? Or are you looking for those you can teach and help grow?

As an employer, you can't be everything to everyone, and you don't want to be. You only want to recruit and retain people who fit your corporate culture.

By hiring excellent employees from the start, you'll help them down the path to promotion when your organization is ready for more leaders. This saves you time and the hassle of training external hires for essential management roles when they may not understand the company.

2. Identify the perks your ideal employee wants

The next step toward becoming an employer of choice is to understand what your ideal employee may look for in a company. Providing perks and benefits that are appealing to potential applicants can simplify the recruitment process.

Many lists are available with the top perks employees want. However, the benefits you should focus on are the ones that appeal to your workforce and match your company values.

For example, if you own a snow sports retail store, you likely want to attract outdoor enthusiasts. Offering a perk like discounted ski passes or deals on sports equipment will help you attract that kind of employee.

Likewise, if you own a growing tech startup in a large city, you likely want tech-savvy employees. For this workforce, a gym membership, mobile app subscriptions, or commuter benefits like transit passes may align well with your ideal employees.

To help figure out which benefits you should offer, you can conduct an employee survey. This can tell you what benefits and perks your current employees value the most.

If you don't have the time to send out an employee questionnaire of your own, PeopleKeep by Remodel Health’s 2024 Employee Benefits Survey identified the most desirable perks.

The benefits employees value the most are:

• Health benefits
• Dental insurance
• Paid time off (PTO)
• Retirement plans
• Vision insurance
• Retirement benefits
• Mental health/wellness benefits
• Remote work/flexible work schedule
• Paid family leave
• Childcare benefits
• Education benefits

Let's dive into a few of the top benefits you can offer your employees to become an employer of choice.

Health benefits

If you want to become an employer of choice, you have to offer health benefits. According to our survey, 92% of employees consider health benefits important.

Many health benefits options are available, such as traditional group health insurance. However, small employers may find traditional group health plans too costly and complex. Traditional benefits also lack flexibility to meet employees' unique needs.

Thankfully, there are affordable alternatives to traditional group health insurance. One such option is a health reimbursement arrangement (HRA).

A stand-alone HRA is an excellent, low-cost, and flexible option. It allows you to reimburse your employees tax-free for their individual health insurance premiums and qualifying medical expenses. This gives your employees more choices over their health insurance policies and quality of care.

Two of the most popular stand-alone HRAs are:

• The qualified small employer HRA (QSEHRA)
• The individual coverage HRA (ICHRA)

Employers set monthly allowances for employees. Employees can't surpass this amount, making an HRA a predictable, budget-friendly benefit.

Paid time off (PTO)

An employer of choice recognizes the importance of work-life balance. Your employees need time away from work to relax, de-stress, and spend time with their friends and family.

Offering ample PTO enhances the overall employee experience. Employees who take time off are likely to be more productive and have higher morale compared to those who don't.

PTO also encourages long-term talent retention. A recent study¹ from Florida Atlantic University found that offering PTO reduces the likelihood of quitting by 35%.

Mental health/wellness benefits

A healthy workforce is a productive workforce. Josh Miller, the HR Manager and CEO of Clean Carpets², practices this at his company.

"Throughout 2024, investment in mental and physical well-being has remained one of the top priorities for our employees," Miller said. "Resources ranged from health benefits to wellness workshops that supported the health of our team."

Some popular wellness benefits include the following:

• Fitness classes
• Gym memberships
• Health challenges that encourage employees to engage in physical activity

Additionally, you can also offer nutritious food options in the workplace to support healthier eating habits.

You can also become a top employer by providing access to mental health resources that support the overall well-being of your employees. This includes counseling services and stress management programs.

Remote work and flexible work schedules

If you want to entice prospective employees and become an employer of choice, you should consider offering more flexibility in their work arrangements. Our report found that 57% of workers said it's important to have access to remote work or a hybrid work environment.

"Clean Carpets believes that one of the most important things in retention is a work-life balance," Miller said. "That's why flexible scheduling and supporting personal time off really make the difference to keep our workforce happy and productive."

If you have employees working from home, consider offering them a remote work stipend. You can reimburse your employees for their home office set-up costs and monthly or internet bills with a remote work stipend. A remote work stipend helps you set your remote employees up for success and satisfy laws in states that require remote employee expense reimbursement.

Flexible work arrangements are another popular benefit for employees. If your employees work remotely, you can let them choose their work hours. This is a great way to attract future employees who have children, as they won't need to find a daycare or have someone pick up their kids from school. It also allows employees to schedule dentist appointments and doctor visits during the workweek so they can stay healthy.

Professional development benefits

Providing training and development opportunities is another highly effective strategy for enhancing employee engagement and employee retention.

Miller has implemented several strategies to position his organization as an employer of choice, such as emphasizing professional development.

"We outline clear career growth trajectories for each and every function," Miller said. "We've made sure, through regular one-on-one check-ins, that individual goals are aligned with company objectives so that everyone can see a path forward for themselves."

To show your employees you care about their futures, you can offer training and development opportunities such as seminars, classes, and education benefits like tuition reimbursement.

Helping your staff reach their professional goals can lead to increased employee loyalty. This makes them more likely to build long-term careers within your organization instead of seeking better opportunities elsewhere.

3. Track what your competition is doing

Next on your list to become an employer of choice and improve your employer brand is researching how you stack up against your competition. Follow your competitors on social media and check their websites. Potential candidates and your current employees may already be doing this to ensure they have the best opportunities.

While it may seem daunting to compete with other organizations, particularly when it comes to salaries that are on or above the market rate, don't underestimate the value of providing unique employee benefits.

According to our report, 81% of employees said the benefits package an employer offers is an important factor in whether they accept a job with an organization.

Here are a few ways you can get a sense of how your comprehensive employee benefits package compares to the competition:

• Network with managers from similar organizations
• Look at your competitor's career pages
• Talk to your employees and job candidates about what they expect
• Keep up-to-date on industry trends and best benefits practices

4. Offer interesting and challenging work

Another important step to become a top employer is offering a challenging but manageable workload. Achieving this blend may look different depending on the role or team member.

Keep these questions in mind when you're evaluating your employees' workload:

• Is the work challenging but not leading to employee burnout?
• Are there clear, straightforward role definitions?
• As employees grow and become more efficient, do their responsibilities grow with them in a manageable way?
• Along with the work you're asking employees to do, are they excited about the overall company vision?
• Are employees passionate about your mission?

On top of keeping day-to-day work engaging, you also want to offer continued growth and advancement opportunities for your employees. This includes a clear path to promotions and regular evaluations.

5. Recognize your employees regularly

Finally, it's important to acknowledge your employees for their hard work and dedication. This contributes to a more engaged workforce and a positive workplace environment.

"Building a culture where every employee feels respected and recognized has been paramount," Miller said. "We celebrate milestones, offer peer-to-peer recognition programs, and encourage bottom-up feedback to make people feel heard and appreciated."

A survey by Bonusly³ found that 82% of respondents believe that recognition for their achievements is an important factor in their workplace happiness. Moreover, 63% of respondents who felt recognized at work reported being less likely to look for a new job in the next three to six months.

Here are a few ideas for promoting employee recognition and showing employee appreciation:

• Celebrate work anniversaries and birthdays
• Start contests and award prizes for meeting company goals
• Provide lunches to employees for special occasions
• Track and share team wins
• Give out thank-you notes to employees
• Provide awards, such as employee of the month
• Give your employees regular care packages

Employee recognition can also improve engagement and productivity while establishing a desirable company culture.

Conclusion

To become an employer of choice, you have to go the extra mile for your employees. This requires a strategic blend of leadership, culture, and benefits that resonate with the aspirations of today's workforce. It's not just about offering competitive salaries. It's about building a workplace environment where people feel valued, heard, and inspired.

If you're looking to offer personalized employee benefits that help create a positive employee experience and attract the potential employees you want, PeopleKeep by Remodel Health can help! With our HRA administration software and in-house customer support, you can easily set up and manage your health benefits in minutes.

This blog article was originally published on January 12, 2015. It was last updated on October 16, 2025.

1. FAU
2. Clean Carpets
3. Survey Monkey