8 Workplace Perks Employees Would Take in Exchange for Lower Pay

Today, employers who don’t prioritize retention efforts risk losing great employees. Offering a lucrative salary is an effective way to motivate employees to join your ranks and stay, but that may not be enough to keep them from leaving your company for another opportunity. What you offer your employees beyond salaries can go a long way in helping your company’s recruitment and retention efforts.

Our 2024 Talent Retention Report, which features the survey results of 1,544 candidates from 57 industries across the U.S., reveals crucial insights into the perks employees would accept for lower salaries. 

8 Most Desirable Workplace Perks for Employees 

1. Better Work/Life Balance (50.9%)

Over half of employees say they’d accept a job with a better work/life balance for lower pay. A healthy work/life balance is important for your employees’ mental well-being. But how can you improve it in your company?

Flexibility, generous PTO, and remote work options (all covered later in this article) positively impact work/life balance. Practical strategies also include allowing employees to take mini breaks during working hours. They may use the time to unwind and engage in activities such as reading or board games. Doing this can reduce employee burnout and stress in the workplace.

It’s also important to point out that employers should set clear boundaries between work and personal life. You can achieve this by allowing employees to disconnect from work after hours, letting them know they don’t have to respond to work emails when they clock off or during weekends.

Remember that work can take up so much of your employees’ time and energy that they have nothing left for family and friends. If this carries on, their relationships – both inside and outside the workplace – may begin to suffer, and so will their productivity on the job.

2. Better Work Environment/Culture (44.6%)

Employees need to feel valued, respected, and part of the team. Many employers overlook improving the work environment/culture, which is important for team morale and job satisfaction. 

Creating a positive work environment is a continuous process that requires effort. As an employer, C-suite executive, or hiring manager, this can include creating employee recognition programs, hosting regular team-building events, and offering growth opportunities such as training and workshops. Company-sponsored lunches and activities such as escape rooms are ideal for bonding and developing work relationships.

3. More Flexibility (40.8%)

Most employees would love to choose their work schedule as long as they get their work done and meet their key performance indicators. This may involve a compressed four-day workweek or flex time, where employees can decide to work, for example, from 10 a.m. to 7 p.m. rather than the normal 8-to-5 schedule.

Another good example of workplace flexibility is offering a hybrid schedule and letting employees pick at least one of the weekly days they get to work from home. You could also do away with the suit and tie culture, allowing your employees to come to work in a relaxed dress code that they feel more comfortable in.

4. Better Health Insurance (36.9%)

More comprehensive health insurance, which can include dental and vision coverage for employees and their dependents, is important to many job candidates and employees. Coverage should pay for doctor visits and hospital stays, as well as prescriptions. These top employee benefits attract job candidates while making healthcare more affordable and accessible for workers and their loved ones.

Keep in mind that health insurance plans vary from company to company. Some companies may also offer mental health coverage and gym memberships to promote physical and mental wellness for their employees.

5. More Paid Time Off (36.8%)

Employers and managers should consider allowing employees to have significant paid time off (PTO) for sick, personal, vacation, or bereavement days. This can work if they complete their job tasks as required and on time. It benefits your company by combating employee burnout. Generous paid time off can also be quite useful to employees after the birth of a child.

6. Better 401(k)/Retirement Plan (34.1%)

Even though retirement may seem like a long time away for some, a retirement savings plan, such as a tax-advantaged 401(k), is an excellent way to attract employees while offering lower pay. You can match your employees’ contributions or provide a profit-sharing plan that is deposited into their retirement savings.

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7. 100% Remote Work (32.8%)

Perhaps the most obvious impact of the COVID-19 pandemic on the U.S. labor market is the striking increase in employees working remotely. Remote work has become the norm at many companies, especially within departments such as accounting and software engineering. The pros of remote work include the elimination of workplace distractions, the ability to customize workspaces, a more flexible schedule, and the money saved on commuting.

As an employer warming up to allowing staff to work remotely, you may offer your employees a stipend that covers their home office setups as well as internet costs.

8. Shorter Commute (29.8%)

Although some workers don’t mind long commutes, roughly 30% don’t like sitting in their cars or standing in packed commuter trains every day heading to work. This can easily add up to thousands of dollars spent and hundreds of hours wasted every year.

You can offer employees solutions such as satellite offices or coworking spaces closer to where they live. Paying relocation costs is another option that employers may offer new hires.

Hire and Retain Qualified Talent

Employee perks and benefits include options that suit a variety of interests and circumstances for small and large businesses. A handsome salary alone may not be enough to attract and retain top talent. A thoughtful and generous perks package can make a big difference in maintaining an engaged and loyal workforce. For more insights on retaining your employees or finding top talent, check out iHire’s Employer Resource Center and read our 2024 Talent Retention Report.