As baby boomers move into their retirement years, younger generations will continue to step into their shoes in the workplace. According to a Pew Research Center report, millennials—defined by the U.S. Census Bureau as those between the ages of 18 and 34—have now overtaken baby boomers as the country’s largest living generation.
For businesses, these generational shifts mean making adjustments to the benefits they offer. Businesses interested in employee retention have found themselves faced with a younger workforce in search of different types of benefits than those sought after by their parents and grandparents.
Millennials Are Looking for Unique Benefits
So, what types of benefits do millennials include on their job-hunting wishlists? According to employee benefit experts, younger generations of workers are interested in nontraditional benefits that cater to overall health and well-being.
Some of the top benefits preferred by millennial workers include flexible vacation time, gym memberships, and healthier eating options in company break rooms and vending machines. Younger workers have also expressed a strong interest in wellness programs that offer incentives for achieving goals, such as weight loss or sticking to a healthier diet.
Young Workers Still Want Comprehensive Health Benefits
Today’s workers may want to see things like massage chairs and book clubs in the office, but that doesn’t mean they’re willing to forgo traditional employee benefits like high-quality health insurance.
Businesses eager to improve employee retention can’t afford to overlook the need to offer comprehensive health benefits to their millennial workforce. Unlike older generations of workers, however, millennials tend to demand more freedom of choice in their health insurance options.
The Small Business HRA for Today’s Generation of Employees
The Small Business HRA is an excellent way for employers to give their millennial employees a wide range of options when it comes to their health coverage. With an HRA plan, businesses reimburse workers for individual health insurance and medical expenses. The Small Business HRA is good for employees with families, too—something that helps young workers prepare for growth in the years to come.
Keeping employees motivated and happy is a key part of employee retention. By offering a combination of new and traditional benefits, businesses can ensure a smooth transition between generations of workers.
What is your business doing to attract millennial employees? Let us know in the comments.