New research has revealed that non-financial perks have overtaken pay rises as the number one incentive used by employers to attract new members of staff.
Indeed Flex, the online marketplace for flexible workers, surveyed 402 HR directors and found that while 47% have increased staff salaries faster than usual in an effort to attract interest, 50% were focusing on non-financial rewards including employee benefits and flexible working hours.
Nearly a quarter (23%) have offered private medical insurance as a non-financial incentive and 22% have used flexible working hours. Almost one-fifth (19%) have provided ‘duvet days’, or holiday days in addition to normal leave, childcare arrangements, sign-on incentives and private dental insurance to entice new employees.
Conversely, only 6% said they have not, and are not planning to, introduce any non-financial perks to entice new staff.
In addition, almost half (47%) that employ temporary staff have increased wages for them, and among those who have done this, wage levels have risen by 5.15% on average. While 43% have upped pay by between 5-6%, one-fifth (20%) have done so by 7-8%.
Novo Constare, COO and co-founder of Indeed Flex, said that while offering higher pay is a tried and tested way of attracting candidates, it is striking how many employers are now thinking beyond the pay packet, as non-financial perks and incentives can be just as effective at drawing in applicants.
“Given the focus on work-life balance that the pandemic brought about, flexible working arrangements are proving particularly popular, among both employers and workers. We’re seeing a surge in the number of companies opting to build the bulk of their growth on a flexible, temporary staffing strategy. Meanwhile for many workers, choosing temporary work over a permanent job gives them the flexibility and freedom they crave,” Constare said.