It’s a challenge all business owners face: Making your company a more attractive place to work. The good news is you do not necessarily need to pay more to attract and retain good employees. Smart entrepreneurs are sweetening their employee benefits package with low-cost or no-cost perks to help their companies stay competitive in the market for good employees. Benefits such as flexible work schedules, health club memberships and relaxed dress codes often make a difference when candidates are weighing job offers. Another free perk that can make a difference is a workplace banking benefits program.
Smart Business talked with Nickolas Certo, senior vice president of WorkPlace and University Banking at PNC, on how workplace banking can give your company an edge in today’s competitive marketplace.
What is a workplace banking program?
In an effort to reduce employee absenteeism and improve productivity, many companies now offer benefits to enhance employees’ physical well-being, such as smoking cessation workshops or discounts on health club memberships. Similarly, a well-structured workplace banking program can help your employees become more financially ‘fit,’ which can lead to higher levels of satisfaction in their professional and personal lives. Essentially, it is a package of free and discounted financial services your company can offer to employees as part of your overall benefits package. Typically, there is no cost to participate, only rewards for both your company and your employees.
How will my company benefit from a work-place banking program?
By far, the No. 1 reason to add a work-place banking program to your company is that it gives potential workers one more reason to choose your firm over another, and it gives your current employees one more reason to want to continue working for you. And it’s free.
Additionally, these programs often increase direct deposit participation. According to the American Payroll Association, the cost of issuing paper payroll checks can be as much as $18 per check, so a company can significantly reduce payroll processing costs if employees switch to direct deposit.
Depending on your company’s size and location, the package could also include special arrangements for an onsite ATM, reducing the time employees may spend away from work taking care of their banking business. Generally, the more exclusivity you are willing to grant a provider, the more benefits you and your employees can expect to see.
By adding a reputable workplace banking program, a company can perk up its employee benefits package without driving up its overhead. And, at no cost to the company, the rewards can be great.
How will my employees benefit from a work-place banking program?
When evaluating workplace banking programs, employers should look for packages of benefits and offer their employees financial services they can not get otherwise. A well-structured program includes a free personal checking account with direct deposit of their payroll check, and special promotional offers available only to employees of participating companies, such as better rates on CDs or waivers on mortgage fees. Also, it is a good idea to choose a provider that has a significant number of branches and ATMs in the community, making it more attractive to participants.
Even more important, a good workplace banking program is centered on financial wellness. That means it goes beyond special product offers and includes free financial advice and assistance to help employees reach their financial goals. Employee seminars on relevant and timely topics, such as identity theft protection, saving for retirement, or general financial planning should be an integral part of the program. If space allows, these seminars can be held at your work site. Employees may also be entitled to free one-on-one consultations to discuss their unique financial circumstances.
Like the discounted health club membership that encourages employees to get in shape, specially priced or free banking services motivate employees to get their financial houses in order many for the first time.
This was prepared for general information purposes only and is not intended as specific advice or recommendations. Any reliance upon this information is solely and exclusively at your own risk.
NICKOLAS CERTO is a senior vice president of WorkPlace and University Banking at PNC Bank. Reach him at (412) 762-6755 or email@example.com.