At JC Lewis Insurance Services, we’ve seen firsthand how businesses across Arizona are rethinking their employee benefits strategy. With today’s competitive job market, salary alone often isn’t enough to attract—and keep—the right people. That’s where a competitive employee benefits package comes into play.
If you’re an Arizona business owner or HR decision-maker, you may be wondering: How much do benefits really matter? The short answer? A lot more than you might think.
Why Benefits Matter More Than Ever
Today’s workforce has high expectations. According to a 2023 survey by MetLife, 73% of employees say having a wider array of benefits would make them more loyal to their employer. Meanwhile, a Glassdoor study showed that 80% of workers would prefer additional benefits over a pay raise.
For small and midsize businesses in Arizona, this presents both a challenge and an opportunity. You may not be able to compete with big corporations on salary, but a thoughtfully designed benefits package can level the playing field and even tip it in your favor.
What Makes a Benefits Package “Competitive”?
A competitive employee benefits package goes beyond the basics. It includes:
- Health Insurance: The foundation of any benefits offering. In Arizona, where healthcare costs continue to climb, offering affordable, accessible plans is a huge plus for job seekers.
- Dental & Vision Insurance: These are often low-cost add-ons that many employees expect, even if they don’t always say so out loud.
- Mental Health & Wellness Support: The demand for mental health benefits has grown significantly. According to the American Psychological Association, 81% of workers say they will look for employers who support mental health.
- Life Insurance & Disability Coverage: Financial protection options offer peace of mind and show you’re looking out for employees’ long-term security.
- Retirement Savings Plans: 401(k) options or similar retirement plans help demonstrate a commitment to your employees’ future.
- Work-Life Perks: Flexible hours, hybrid work, and paid leave policies go a long way in retaining talent.
It’s not just what you offer, but how you offer it. Making benefits easy to understand and access can be just as important as the benefits themselves.
The Arizona Hiring Landscape: A Look at the Numbers
The job market in Arizona remains highly competitive, meaning top-tier talent has choices. This is especially true in industries like healthcare, education, finance, and tech, sectors where benefits expectations are even higher.
So how do you stand out? By offering benefits that reflect your understanding of employee needs and your commitment to supporting them both on and off the job.
The Retention Advantage
Hiring is expensive. SHRM (Society for Human Resource Management) estimates the cost of replacing an employee can be up to three to four times their salary when you factor in lost productivity, recruiting, training, and onboarding. A solid benefits package reduces turnover by making employees feel valued and secure.
In fact, a 2023 Paychex survey found that 70% of employees who are satisfied with their benefits also report being satisfied with their job overall. When your employees feel taken care of, they’re far more likely to stick around and speak positively about your company to others.
Benefits on a Budget: Yes, It’s Possible
Many small businesses worry that offering a robust benefits package is financially out of reach. But the truth is, you don’t need to offer everything to everyone all at once.
Start with health coverage that makes sense for your team size and industry. Arizona offers several options for small groups (as few as two employees), and our team at JC Lewis can help you compare carriers and customize the right solution.
Add-ons like dental, vision, and life insurance are often surprisingly affordable, and they offer high perceived value to employees. Even voluntary benefits (where the employee pays but gains access to group pricing) can boost your offerings without affecting your bottom line.
Let’s Build a Better Benefits Package Together
If you’re feeling overwhelmed by the options—or unsure where to start—you’re not alone. At JC Lewis Insurance Services, we specialize in helping Arizona businesses design benefits packages that work for their team and their budget.
We take a consultative approach, learning about your company’s goals, workforce, and financial realities before making recommendations. From selecting the right health plans to ensuring compliance with state and federal regulations, we’re here to guide you every step of the way.
Ready to Attract and Retain Top Talent?
Let’s talk about building a benefits package that works for you and your employees. Reach out to JC Lewis Insurance Services today. Call us at 707-978-2359 to get started.
