Thabang Thaoge, Executive Head of Employee Benefits at FNB
The idea that small and medium-sized enterprises (SMEs) can’t offer their staff employee benefits is outdated and, quite simply, incorrect. That’s according to Thabang Thaoge, Executive Head of Employee Benefits at FNB, who is determined to debunk the many myths and misperceptions around employee benefits that still exist in many organisations in South Africa, most notably SMEs.
“Employee benefits aren’t just for big companies,” Thaoge explains, “SMEs can offer them too, and it’s easier and more affordable than many think.”
He highlights that employee benefits are about much more than just making staff happier; they can also give businesses a competitive edge by enabling them to attract and retain quality people. He also says that contrary to widely held misperceptions, employee benefits aren’t an expense, they’re an investment in the financial resilience of the business, shielding it from unexpected financial shocks that could otherwise arise when an employee falls ill or passes away.
“Initiating an employee benefits programme does not require a hefty investment or elaborate planning,” he says, “it can start with a basic offering like funeral cover, which holds immense value for many employees and their families,” says Thaoge.
Once this basic cover is in place, SMEs can gradually introduce more comprehensive benefits like life insurance to help employees secure the financial security of their families, and income protection to give their employees the peace of mind that their financial wellbeing is protected should they find themselves unable to work due to illness or disability.
In addition to these benefits, Thaoge says that retirement savings plans can also be offered in varying degrees of complexity. While some employees may appreciate a simple savings account with a competitive interest rate, others may find value in a more structured, employer-sponsored retirement fund.
“The beauty of a sound employee benefits strategy delivered by a reputable and innovative provider, is its modularity,” he says, “so as your business grows, so too can your benefits be offering. It’s all about understanding the evolving needs of your employees and your business.”
Thaoge emphasises that the keys to any successful employee benefits program are flexibility and a deep understanding of employer and employee needs. He stresses that an EB programme should have the ability to evolve as the business grows and as the needs of the workforce change.
“Employee benefits are not a luxury but a strategic necessity for SMEs, Thaoge says, “and partnering with an EB provider like FNB, that understands the unique challenges and potential of SMEs, and the diverse needs of their employees, can make all the difference when it comes to crafting an effective and sustainable employee benefits strategy.”
ENDS
