Millennials have a reputation for job-hopping, always looking for the next opportunity. Research shows that 21% of millennials have changed jobs in the past year, which is three times the percentage of non-millennials who’ve done the same. This trend may, however, may not be exclusive to the millennial generation. Interestingly, research finds that millennial employees are just as likely to change jobs in their 20s as baby boomers were in their 20s.
The trouble for hiring managers, however, remains: how can you hire and keep millennial workers? Recently many companies have started to come upon some answers. Their method of retaining millennials: benefits. Here are some of the most successful:
One of the easiest ways to interest millennials and younger employees is simply to provide them with more flexible working hours. Many millennials view the classic, nine-to-five office grind as an antiquated way to work. As such, they look for jobs that offer them the flexibility to do other things. They don’t just value a stable job; they want their lives outside of their jobs to be fulfilling as well.
As working from home becomes the norm for many businesses, it’s easier than ever to offer employees a variety of options. Programs like Zoom, Slack, and Microsoft Teams have become standard workplace programs, and they enable employers to provide millennials with the flexibility they desire.
Pet insurance is quickly becoming more common among millennial employers. With 82% of millennials saying they’d likely have pets before becoming parents, more and more employers are starting to structure their benefits around the millennial lifestyle.
Around 50% of Fortune 500 companies offer pet insurance as a benefit, and the pet insurance market continues to grow every year. As the number of pet owners continues to increase, this benefit grows even more popular!
Student Loan Repayment
It’s no secret that student loan debt is more widespread than ever before. Millions of millennials are repaying thousands of dollars in debt after graduation. With that in mind, one of the best and most effective methods of hiring and keeping millennial employees is through student loan repayment programs. There are several ways to offer this benefit:
- Student Loan Signing Bonuses
- Employer repayment
- Contributions to 401(k) plans
Student Loan Signing Bonuses
The simplest and most self-explanatory of these options is to offer an employee student loan signing bonus. Some companies, for example, pay $1,000 toward new employees’ student loan payments at the time of hire. This method, while great for bringing new talent in, is not as effective in retaining millennial workers.
Some employers also contribute directly to their employees’ student loans. For instance, Nvidia offers employees up to $6,000 a year to a total of $30,000 for student loans.
Notably, Nvidia’s program is one of the most generous, and employees will happily join your company for smaller amounts of support. Even with these smaller amounts, employer repayment is not only a great way to bring in new employees but also to retain them over time.
Contributions to 401(k) Plans
Some employers offer retirement contributions to employees to attract new talent and decrease turnover. When your employees pay off a certain percentage of their student loans, they may qualify for full 401(k) plan matching.
Work with Technology
Millennials are tech-savvy and they look for a tech-savvy workplace. Provide digital documentation and accessible benefits. With widespread technology, it’s easier than ever to design benefits around your millennial employees.
Ongoing Performance Reviews
Millennials operate best with constructive feedback, even more so than previous generations. They want to feel involved in the company, and they want to know how their work is affecting the team as a whole.
Millennials are looking to grow in their careers, and your feedback is immensely valuable to them. The best way to do this is to provide regular performance reviews. There’s no reason to wait for feedback when contacting someone takes seconds.
Millennial employees value programs that foster professional development. One common reason millennials job hop is to find new opportunities for growth, but if their current employer already supports career growth, they may be more likely to stay. Mentoring, training and professional development courses are highly desirable for millennial employees. They also encourage employees to learn and grow with the company.
These benefits provide effective, budget-friendly ways to keep employees engaged and happy at work. If you’re looking for more tips on how to retain millennial workers, we’ve linked more details here.
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