Are Your Company Benefits Perceived as Benefits?
There is a great article in the Globe & Mail this morning about benefits and the value to the individual receiving them. The article describes an Executive who received a golf club membership from his company, but hated golf and wanted either the cash or to join a curling club. The company refused his request.
The individual reluctantly took the “so called” benefit until the Canadian Revenue Agency reassessed his taxes and included the golf club fee on his income. The individual fought the CRA and won. Click here to read the article.What does this example show us?
- Companies far too often determine what constitutes a benefit to an employee, which may or may not be perceived as a benefit.
- A one-size fits all benefits plan is out-dated and threatens to alienate employees who receive benefits that they either do not appreciate or don’t want.
- Benefits should be selected by the individual employee and they alone should determine whether or not they want to take a “taxable benefit”.
- Employee engagement will only be realized when companies start to really understand the needs, wants and dreams of their employees at the individual level and start to tailor benefits packages accordingly.