Travel Perks

How Your Business Can Benefit from Travel Perks

by Lesley Gates

Employee retention is and will continue to be one of the hottest topics in human resources. According to a 2008 report by O.C. Tanner, 79 percent of employees who quit their jobs cited “lack of appreciation” as the key reason they left. More than 70 percent of HR managers say employee retention is their primary concern (2006 Monster.com study). And with employees in nearly every industry continually searching for something bigger and better, HR professionals are forced to crank up the creativity and search for bigger and better perks.

Travel awards and benefits are among the latest creative perks to garner a following. In fact, a June 2007 report by the Society of Human Resources cites personal travel services as one of the top 50 benefits of the best small and medium-sized companies around the country.

Some HR managers and business owners have reported that travel awards are often more appreciated than cash. Trips provide employees with memorable and much-needed breaks from the daily grind. Their batteries recharged, work production can increase, and experience may also motivate other employees to take advantage of travel awards.

In addition to awarding an entire trip, travel perks can include special pricing on travel clubs as well as discounts on accommodations, rental cars, and destination and cruise getaways. Yet, employees aren’t the only ones who can benefit. Employers can use travel awards to maintain positive relations with customers and corporate partners. Low-cost online tools are available through travel organizations, allowing companies to get a return on their travel expenses. Therefore, companies that are already spending money on travel—regardless of the volume—can receive a return on the investment.

A Closer Look
While many businesses offer lackluster benefit packages, creative perks such as discounted travel and complementary trips to reward performance help keep fickle employees in place. That’s why sound HR practices such as recruitment and recognition programs are vital to a company’s profit margin. Travel perks and awards can help enhance these practices and save companies’ money.

• Recruitment: In order to remain competitive with recruitment, companies need to offer benefits their competitors don’t offer. When job hunting, travel perks can tip the scale for individuals and families who love to travel or wish to travel more in the future.

• Retention: An ounce of prevention by using desirable incentives such as travel can reduce employee turnover, potentially saving companies hundreds of thousands of dollars in direct and indirect expenses. If an employee knows a potential trip is around the corner, he or she would be less likely to seek employment elsewhere.

• Balance of work and life: Studies show that vacations reduce stress and prevent worker burnout. Rejuvenating your employees can keep them happy, healthy and working to the best of their abilities. In turn, this can reduce unscheduled time off, which can have a positive impact on a company’s bottom line. Endorse this by rewarding employees with travel and time off. At a minimum, provide them access to online resources that will save them time and money when planning their own travel.

• Customer and Employee Appreciation: Travel perks are a high-value avenue to show your appreciation of customers and employees. Cruise and hotel getaway certificates can be used to say “thank you” to business partners and clients, or for promotions, and will ultimately help grow your business and foster personal relationships.

Implementing Travel Perks

• Consult an HR expert. Business owners and managers can consult with their HR departments or hire an HR consultant to review current employment practices, evaluate total rewards, explain specific travel benefits and relay which programs would be most advantageous to implement.

• Offer flexible scheduling. “Flex” scheduling is a low-cost way to enable employees to take personal vacations. Often, people will forgo traveling because they can’t coordinate time off with spouses and/or their children. Flex scheduling can eliminate much of this stress and improve employee morale.

• Enhance employee recognition programs with travel certificates. Recognition makes people feel good, and it can enhance an employee’s sense of pride in a job well done. Travel awards can drive one’s motivation to increase output and go the extra mile. For example, contests offering travel certificates can motivate sales teams to bring in more revenue. Certificates can be distributed to sales or non-sales employees and utilized for special programs such as safety awards and referrals. Contact a travel agent or participate in online travel programs to obtain travel certificates.

• Create a company travel website that delivers a return on investment. Online tools exist that enable companies to create customizable travel websites and receive a commission from the travel expenses of all employees booked through the site. Why let other travel agents earn commissions? Employees are automatically directed to the best internet price available, and the company reaps the benefits of the return on investment (ROI) when business or personal travel is purchased.

• Establish company partnerships with travel organizations. Employers can offer personal and business travel discounts to employees through partnerships with travel agents and travel companies.

Lesley Gates, Founder and Owner of Gates to HR, has more than 18 years of human resources management experience in diverse corporate and work site environments, from small business to Fortune 100 and Fortune 500 companies.

Infolink:
www.gatestohr.com