“There’s no such thing as a free lunch.”
The phrase popularised by Milton Friedman is mainly heard from the mouths of the country’s lowest paid workers as a result of measures that were initially designed for their own good.
Perks and salaries are being reduced or cancelled as businesses attempt to balance the expense of implementing the national living wage. Sunday and overtime pay are being cut off in numerous companies, as well as bank holiday pay. Several employers have even stopped giving their workers a lunch break.
Does this spark the end of how employers reward their lowest paid workers? Obviously, not all employers resort to such drastic measures in order to stay compliant with the changes imposed by the government.
BBC reported that employers responded to the implementation of the new NLW by raising prices or reducing profits instead of cutting jobs. The truth is that, despite the fact that there is no doubt about the government’s good intentions, employers struggle to keep up with the new measure, which is detrimental to workers’ perks, and subsequently, their quality of work and life.
Lower paid workers in certain industries are used to enjoying a series of perks that make up for their diminished wage. For instance, numerous workers in food outlets stated that the main benefit of their jobs was that they were allowed to order anything they wanted off the menu for lunch. Now, some are deprived of this benefit, along with any other perks they might have had. The cost of perks is so much less than the effect it has on the workforce, yet it’s more likely to cut them in order to balance out the impact of the new NLW policy.
There is a popular story about Churchill ordering that there should be no diminution in the arts during the war because “After all, that’s what we’re fighting for”.
Although the story is not true, the spirit is. Nowadays, people are not in a job for the sake of simply having a job. They are skilled and know their true value. That’s why they tend to look for jobs that offer a wide array of perks; giving a new meaning to attractive jobs.
Free meals, discounts on products, doctor services, health and wellbeing programmes are silently being cut when “After all, that’s what we’re working for.”
The attraction, retention and performance of workers largely depend on the perks they enjoy, especially when receiving the minimum wage. In order to keep workers engaged and motivated, employers offer favourable perks to their staff, yet these come at a price that is deemed unaffordable by many. So, it all comes down to two options; either to curtail them or stop offering them.
Nevertheless, based on our vision of tomorrow’s workplace, we have discovered a better option: giving complimentary perks to workers that are usually reserved for permanent employees of multinational companies. Thanks to numerous discounts, workers are able to stretch their pay even more by saving substantial amounts of money on expenses such as groceries, clothing, automotive costs, insurance, and going out.
VIP perks add value to their wages and upgrade their lives. As their quality of life improves, expenses on health, leisure, travel, and shopping are reduced. Moreover, employers do not have to limit or cut the provision of perks to their workforce. Centralus has designed the model that benefits employers and workers alike. Workers enjoy enhanced perks and employers do not need to sacrifice their staff’s engagement to guarantee their wages. Therefore, at a time when perks and pay rates get cut, the VIP perks workers get are quite valuable. If not a free lunch, at least great offers are given on eating out and so much more!