Bahrain stands as one of the ideal work hubs for expatriates. Despite the growing employment rate in Bahrain, there tends to be consistent unrest among employees concerning the issues they are facing within the organisation. While unfair and discriminatory practices are suspected to be one of the causes of this unhappy workforce, some indicate that poorly structured or planned benefits programs also significantly increase employee disengagement and labour turnover rate.
As with any job, compensation becomes a key consideration followed by other benefits. And in the case of white-collar employment, what top talents expect in this work-era of cloud-HR software goes beyond the figures on a payslip. For example, skilled or qualified workers look for more benefits, wellness, and other perks from a company apart from the compensation. In this article, we will discuss how organisations effectively design employee benefits and compensation programs in Bahrain to attract potential talent, retain them, and promote an engaged workforce.
Choose the type of benefits you want to offer
Many company benefits plans tend to be unfocused on the expectations of different employee segments and sometimes generalised for all workers. While employee benefits programs can be generous as you prefer, it’s essential to make sure you give what is expected by a specific workforce category according to competitive industry standards.
Like mentioned, blue-collar employees may prefer higher compensation over benefits. In contrast, the main focus for white-collar employees may fall on benefits & perks as they are usually ranked for higher pay with their qualifications.
It’s also equally important to consider what your employees value the most in their compensation and benefits package. For example, expatriates may align more towards health insurance, accommodation, food & transport and paid vacations. Local employees may prefer fuel allowances, work-life balance benefits, vehicle or house insurances, etc. To simplify this organisations can use proper HR software with apt features to effectively streamline their benefits programs.
Keep your Legal Obligations in mind
Many companies fail to design their benefits for employees properly and even face legal compensations because it rarely abides by labour laws and other related legislation. As the world is becoming a global village with the advancement of information & technology, employees are well aware of their rights and are keen on protecting and fighting for them.
Any benefits program should carefully consider all the legal risks associated with their workforce, starting from the minimum wage standards. The laws concerning expatriates and local workers are different. So it’s essential for employers to consider them carefully when planning an adequate compensations and benefits program and not stick to a generalised approach.
Fix a Budget
One of the key mistakes many companies make when designing a benefits program is they try to add as many elements as possible to make it appealing for recruiting purposes. But in the long run, the economic uncertainties and other budget issues tend to take over and collapse the whole program, disappointing employees and increasing the turnover rate.
To make a compensation and benefits program work as planned, it is essential to start with a budget and add the essential benefits and compensation structure that each employee segment expects. Once that is sorted, it’ll be easy to analyse the available funds allocated for company benefits & compensation programs and figure out any additions or deductions. This way, you can maintain a compensation & benefits program as planned without overspending or making unreliable promises to employees.
While budgeting according to specific employee segments and their expectations calls for precise analysis, organisations can use effective technology like cloud-based HR software that has budgeting features. Using these cloud-based HR platforms can produce budgets that are error-free & have reliable predictive capabilities with its AI (artificial intelligence) powered features.
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