The paychecks employees receive only go so far. Competitive wages may be a powerful motivator, but workers often look at the entire package. The cost of benefits like employer health insurance plans, available perks, and work-life balance come to mind. Most candidates won’t join your organization just for the pay, and many won’t stay for it.

Creating a supportive environment and designing manageable workloads are ways to bolster compensation. Added perks, such as access to discount programs, are another way to stand out. These programs can help employees relieve financial stress by reducing their household expenses. Plus, the programs don’t cost employers much, if anything. Here’s how they benefit employers and employees.   

Promotes an Employer’s Brand

Organizations implementing a corporate discount program can include access to company-branded merchandise, commonly known as swag. Discount programs also include savings and additional loyalty points on purchases with other businesses. However, to take advantage of these incentives, employees typically sign into an online hub. The online hub can contain the organization’s brand, including logos and taglines.

Company swag might seem insignificant, but it promotes an employer’s brand in multiple ways. First, the merch provides employees with useful items they might otherwise have to pay more for. Some discount programs also offer swag at no cost as a reward for tenure milestones and peer recognition. The items could include clothing, household necessities like coffee mugs, and recreational items like golf clubs. When employees use swag, it also exposes the brand to others.

Partnering with other businesses that offer savings on goods and services workers routinely use extends goodwill. It shows your company recognizes that employees have needs outside of their lives at work. You’re acknowledging the financial burdens everyday expenses can bring, and offering to alleviate some of the stress. Discount programs can prop up an employer’s brand as empathetic and supportive of employees’ welfare.

Boosts Employee Spirits

There’s no way around it. Low morale leads to problems. People quit. They put in the bare minimum. And it’s harder to rally the troops when the company needs to overcome a significant hurdle.

Low morale can be a symptom of a poor employee experience. A worker’s experience starts with the application process and ends with the exit interview. However, in between the entrance and exit points are daily interactions, stress levels, and work assignments. Granted, those won’t always be 100% positive. Yet, employees need the pros to outweigh the cons to feel good about their experiences.

While discount programs can’t fix a toxic workplace, they can contribute to a healthy one. It’s a way to increase recognition for employees’ contributions. Discount programs also boost morale by promoting team spirit and lowering external sources of stress. If the dishwasher suddenly breaks at home, employees know how to save on its replacement. In addition, they’re encouraged to achieve a work-life balance with discounted access to travel and recreational opportunities.  

Maintains Cost Efficiency

The Bureau of Labor Statistics reports the average private sector total employer compensation cost is $43.78 an hour. Wages account for 70.3% of those expenses, while benefits represent 29.7%. In the public sector, total employer compensation costs are higher, averaging $61.27 per hour. Of those total expenses, 61.9% go to wages and 38.1% to benefits.

Employer-provided benefit packages can include paid leave, bonus or incentive payments, retirement plan contributions, and paid insurance premiums. All these benefits are important to recruitment and retention. Sometimes a robust benefit package can make up for a slightly lower salary or be more attractive to candidates. For example, it may be more advantageous to choose an employer with 100% employer-paid insurance coverage.

Nonetheless, the cost of benefits adds up for employers. Discount programs offer a low to no-cost way to enhance non-wage compensation. In some cases, companies don’t even have to manage the program. Leaders can partner with vendors to do this for them. They can provide some input on businesses to include in the program but don’t have to iron everything out. Discount programs are cost-efficient for the bottom line and in terms of using human resources.

Increases Access to Needed Services

Employees are people. They need downtime, life planning and financial services, and help around the house. Simultaneously, workers may find it intimidating and cost-prohibitive to seek out some of the services they need. Maybe an employee wants to fulfill a lifelong dream of traveling across Europe. But they have no idea where to turn for trip planning and shrug off their aspirations as too expensive.

Likewise, a worker might suddenly realize they need investment and estate planning advice. Discount programs aren’t just for savings on products. Companies can include businesses that offer valued services from in-home computer repair to financial planning.

By including these types of businesses in a discount program, employees can gain access to services they value. Workers might need those services today or tomorrow. Regardless of urgency, discount programs give employees a way to start their search for the right provider for less. Participating partners can make it easier for staff to take the initial step toward life goals.

Advantages of Discount Programs

Discount programs offer distinct advantages for employers and employees beyond cost savings. You can extend and promote your company’s brand within your community. Offering discount programs adds to your organization’s total compensation package, enhancing the company’s competitiveness as an employer.

For employees, these programs add to the positive side of their work experiences. Staff receive a form of recognition while gaining access to products and services they need to function outside of work. Discount programs create a win-win situation, providing a reason beyond the paycheck to join and stay with an organization.