Benefits have been proven just as important as monetary compensation - and even more so. While some industries have been reducing benefits, the oil and gas sector continues to outperform in this arena. In fact, medical insurance, retirement plans and flexible work hours are standard at many oil and gas companies. The energy industry consistently offers outstanding benefits, both attracting new employees and retaining senior-level workers.
Know the Numbers
According to a survey conducted by Princeton Survey Research Associates for the Center for State and Government Excellence, employees rank health insurance as the No. 1 benefit they consider when choosing a job.
Published in January 2008, the survey polled 1,200 adults in the United States, asking them what benefits, among 15, they consider most when selecting a new job. Health insurance led the list, with 84% of respondents saying that medical benefits were a "very important" aspect when considering a new position.
Other benefits that topped the list include job security at 82%, clear policies and procedures at 82% and retirement/pension plan at 76%. Even work-life balance ranked at the top of the list, with 71% of those polled stating that a family-friendly and flexible workplace was a leading benefit.
On the other hand, monetary compensation ranked near the bottom of the list at No. 10, with 65% of respondents considering pay first when looking at a new career.
Rise to the Top
Employees are looking for more than just a paycheck. Companies that have high rates of retention and successful recruitment programs have satisfied employees, and this satisfaction comes from knowing they are a valued part of the company. And this value is realized when a company goes over and above when it comes to benefits.
The oil and gas industry has obviously recognized this - most energy companies offer medical insurance as a standard policy, in addition to other flexible benefits. While benefits may differ within the company according to geographic locale or corporate structure, the oil and gas industry leads the pack when it comes to accommodating employees with exceptional benefits.
A cursory glance at the benefit packages for some of the super-majors shows the importance the industry puts on employee satisfaction and retention. Benefit programs run the gamut offering medical, dental and vision insurance; long-term and short-term insurance; flexible work hours; mental and substance-abuse counseling; bonus structures; retirement and 401K matching; stock options; child care reimbursement; tuition reimbursement; and even timeshares.
"Too many people see the cost of benefits as a cost, and they don't see it as a benefit of keeping people," explained recruitment expert John Havranek, principal of Collarini Energy Staffing.
Good benefits and high employee retention go hand-in-hand. Oil and gas companies have a proven track record of providing these exceptional benefits.
"They treat their people right, treat them with respect, pay them fairly, give them career growth, have very good benefits, and they have a very good working environment," said Havranek of companies with high retention rates. "Those are companies that ask themselves, ‘What can we do to be better at what we do, at keeping people?'"
"It's logic sometimes," he concluded. "Why would you cut benefits? You should be increasing benefits."
Fortunately, the oil and gas industry does just that, constantly reevaluating to ensure that employees are not only satisfied by benefits offered, but that they feel valued by their employers. After all, every success the industry has seen has been because of the hard work of oil and gas employees the world over.
