Attracting & Retaining Employees – The Strategic Value of a Rolling Benefits Strategy:
Attracting and retaining a talented, committed workforce is crucial for employers. Research shows that employees' attitudes toward their health and retirement benefits are correlated with their employment choices, as well as with their levels of commitment and engagement. Employers that are able to target their benefit package to attract and retain their employees gain a valuable competitive advantage.
With the continued expansion of the cruise industry and a full order book for new ships over the next few years, sourcing and keeping your best crew will become more of a challenge as the demand for quality crew increases. It has become apparent that having a long term strategy in place for employee attraction and retention will be conducive to improved job satisfaction resulting in higher productivity and as a result, hopefully, increased revenue. There are many factors that affect overall job satisfaction: working conditions, opportunity for advancement, workload & stress level, co-workers & management and of course financial reward. Increasingly though, financial reward cannot be limited to just money in the bank at the end of the month. The solution lies in an integrated employee benefits package; and this package is taking on an increased level of importance as it not only affects the officer or crew member but potentially their dependents as well.
Rewarded Workforce = Dedicated Workforce
Traditionally a wider range of employee benefits was reserved to only the very senior officers, and even in some cases to only the deck & engine officers. As competition for the best crew increases, from the Captain to the dishwasher, benefits can be tailored to provide added value to all employees while remaining affordable to the employer. Providing benefits may not be enough to keep your crew happy. A good communication strategy is key to ensure that crew members understand their benefits as well as ensuring that they appreciate and value the package they receive. For example, turn your CBA / MLC obligations into a benefit that your crew appreciate. In some cases, with a little extra investment, it is possible to extend the benefits provided under a CBA agreement to cover the crew while on vacation – this can be a great way to ensure that the crew report to the ship fit for duty.
Keeping Your Staff Pays
One of the keys to a successful business is to keep the level of employee turnover to a minimum. Replacing employees’ affects the bottom line in many ways from lost productivity to recruitment costs – interviewing, hiring & training candidates. This cost can be as high as 30 percent of a position’s annual salary. Therefore it could be said that it pays to keep on your current staff! A competitive benefits package may include:
Budget for Your Goals
- International health insurance – year round cover or vacation cover
- Disability income protection / Sick pay
- Accidental death and dismemberment
- Life insurance
- Retirement Savings
As with anything, it all comes down to budget. A company might not be able to offer all benefits to all crew members, however, with a rolling strategic plan based on projected budgets the benefits offered can be tactically tailored to current and future employees to maximize employee attraction and retention. By having a budget in place and working towards an overall goal, the probability of reaching that goal becomes more attainable. MHG will work with you to build a strategy that will give you the best value for your dollar down the road. Rather than jumping into a plethora of benefits, we can work with you to create a timeline as to when to start offering certain benefits, and in essence save you money, retain your employees, and increase your bottom line.
MHG Insurance Brokers offer many different insurance solutions for many areas of business. Our years of experience in working with the marine industry can assist in maximizing the overall value that a solid benefits package brings to the table. If you would like to discuss a rolling benefits strategy, or are interested in purchasing marine crew insurance, contact us at mhginsurance.com or call us at +1 954 828 1819 or +44 (0) 1624 678668. Our insurance specialists have the knowledge and experience to assist and guide you to the best coverage for your budget.