A study gathered by Research Now, as the fifth annual Aflac Employee Benefits Research focuses on the employees of the Generation Y, or what we call the ‘Millennials’. Experts have observed a profound behavior of Millennials when it comes to work. This particular generation quickly changes jobs in the early years of their careers. Thus, this study researched the reasons behind this fast and furious pattern, and sought potential solutions for the employers.
According to the study, individuals born in the early 80’s had an average of 6.2 jobs between the age of 18 and 26. Furthermore, only 57 percent of these jobs lasted for more than a year. A survey from PricewaterhouseCoopers reflected the reasons behind these numbers, and claimed that the Millennials do it for a couple of reasons.
First, a large portion of these people thinks they’ve had to compromise to be employed. One-third of the subjects says they have to accept jobs that offer a lower salary than what they expect. 17 percent answers, they have to work on jobs that are far from where they reside. While 17 percent also said, they have to accept jobs that offer fewer benefits. Second, Millennials say they prioritize their career growth and development. They knew the value of job opportunities where they see a potential for career growth, that have competitive wages, and offers training and development. Third, the generation Y claims they look for corporations that shares the same responsibility behavior as with their own beliefs. Lastly, these particular individuals find job opportunities more attractive if they offer chances to balance their life and work. Half of the subjects look for jobs that offer flexible hours, while 32 percent said they prefer working on flexible schedules.
Importance of benefits to Millennials
Despite all the mentioned grounds of why Millennials are drawn into job-shifts, companies who are wise enough to know the importance of keeping this new generation of employees saw a solution: benefit plans. These employers saw the Millennials’ employment patterns, and took it into consideration when carefully communicating their offered benefit plans in return for permanence. Besides, statistics show that the number of companies who offer pensions is declining. However, employers who offer benefits claim that the generation Y still opt for leaving despite being offered with benefits. In fact, 63 percent of the surveyed subjects say they still look for a new job after 12 months. The companies question the reason behind this pattern.
According to the 2015 Aflac WorkForces Report, it could be because millennials are looking for better benefit plans. The subjects of the study said inclusive benefit packages are vital because it secures their health and well-being. 58 percent said, comprehensive benefit plans give them a peace of mind. While, 38 percent of millennial workers are aware of its value.
How to make the Millennials stay?
With the current US economy, Millennials are now not afraid to be labeled as a job-hoppers. It is a fact that it is tough to land on the most ideal job. Thus, Millennial employees pursue opportunities for the mean time while they are trying to get the perfect position.
The problem is, no company wants to hire a temporary worker. Especially if they will provide training and development, and end up losing the employee to a competitor. However, 64 percent of Millennials admitted that benefit packages play a huge role on employer loyalty, and 23 percent said it is extremely important. This means that the key to making the Millennials stay is by offering benefit options.
Based on reports, only 31 percent of Millennials are being offered with benefit packages. This is the lowest percentage it has been compared to other generations. Experts say, if companies want to increase the number of their permanent employees, they may want to consider adding voluntary insurance options to their benefit packages.
Why voluntary insurance? First, because voluntary insurance is paid by employees. Meaning, it would not affect the company’s costs. Second, voluntary products will secure the employee’s health in case of sickness or injuries. A voluntary insurance will cover any health-related costs, which primary insurance may not.
Securing the health of millennial workers is crucial, as 72 percent of them may not be able to adjust their financial costs in case of injuries or sickness. Furthermore, experts said, offering voluntary insurance has a deeper importance:
- It makes Millennials workers focus more on their work by providing financial safety nets. Offering voluntary insurance is paramount when 28 percent of Millennials who participated in the 2015 Aflac WorkForces Report said the most common non-related work issue that distracts them while working is personal financial problems.
- Voluntary insurance comes with pay-in-cash benefits regardless if employees have other insurances in place.
The fast-phase world could also be to blame in the current fast-changing choice of careers. However, it could be true that Millennials are looking for reasons to stay, rather than reasons to leave their companies. The best solution to this conundrum perhaps if to offer options for voluntary insurance. Companies may consider offering insurance options that secures health such as, those that cover accident, disability, as well as life insurance, hospitalization, dental, and more. Millenials could be convinced to stick with their employers if they would find ways to secure their insecurities.