Causes of Current Recruiting and Retention Difficulties and Strategies to Overcome Them
January 26, 2022
Causes of Current Recruiting and Retention Difficulties and Strategies to Overcome Them

Employee attraction and retention have become major obstacles for most employers more so now than ever before. In fact, 67% of employers today consider attraction and retention somewhat of a challenge, according to Zywave’s 2021 Human Resources Benchmarking Overview. Most companies, regardless of industry are experiencing a change in candidate and employee behavior and expectations. These changes in employee/candidate expectations and behavior are rapidly driving necessary change in recruiting and retention strategies. To be competitive in the current market employers must adapt to these changing behaviors and expectations.


Causes of Recruiting and Retention Difficulties


The past 2 years of a global pandemic have rapidly and significantly impacted how we interact within our world. These changes have impacted our economy, social interactions, political landscape, healthcare system, etc. One of the most dramatic changes brought on by the pandemic has occurred between in our interaction and expectations between our personal and professional lives. This has created a change in the psychological contract aka mutual beliefs, perceptions, and informal obligations between an employee and employer.


The COVID-19 pandemic has been the catalyst that created a shift in thinking about what matters most in our lives. It has created a new set of priorities for people and revolutionized the idea that our personal and professional lives must be separate from one another and that they should have as little impact as possible on one another. Employees and prospective employees are now becoming less concerned with job stability and more likely to initiate job/career changes due to opportunities for better pay, benefits, and flexibility.


These expectations, coupled with external factors, have led to supply and demand issues within the labor market and created both a ‘Talent War’ and ‘The Great Resignation’. During the pandemic there was an increase in the unemployment rate and jobs available coupled with low levels of participation in the workforce. This formula created an environment that provided employees the power and motivation to change employers, jobs, and careers. Historically, employers were the entities with the most amount of power; this has since shifted to employees and prospective staff. Employees are now resigning at record rates due to the surplus of available job and ability to choose how, when, and where and why they want to work. Experts believe that supply and demand for workers will eventually come back into balance but that many of the changes in how companies recruit and hire talent will remain long after the pandemic subsides.


Strategies

Develop an Employee Value Proposition (EVP)

 It is essential that employers strategically develop an Employee Value Proposition (EVP) that is unique to their company. “It encompasses the central reasons that people are proud and motivated to work there, such as the inspiring vision or distinctive culture. It is crucial to make sure your EVP is unique, relevant, and compelling. When integrated into all aspects of a business, a strong EVP will help retain top performers and attract the best external talent.”


*Flexibility in Work/Life Balance*

Work should enhance an employee’s quality of life; not decrease it. Work-life flexibility is about creating a culture where employees meet the demands of their personal lives while maintaining high levels of work performance. Companies that prioritize work/life balance statistically experience higher levels of productivity/performance and overall employee engagement.


Reflect on what arrangements are possible and realistic for your organization and consider the following:


  • Re-vamp or consider providing enhancing PTO/Sick/Personal time
  • Provide flexible working arrangements
  •   Remote work
  •   Flextime
  •   Condensed scheduling
  •   Job sharing
  • For front line workers who can’t work remotely flexibility and predictability in scheduling is vital


Conduct Salary Benchmarking

“Salary benchmarking helps your organization to ensure that your internal pay rates remain competitive within your local pay markets. In today's competitive talent landscape, benchmarking allows you to assess how you're positioned relative to market, enabling you to make smart pricing decisions that enable you to attract and retain top talent. While salary benchmarking is a critical part of the annual compensation cycle, it is ultimately only as good as the data - and the process - through which you benchmark.”


Benefits

“Health benefits are always important and it’s no surprise that the Covid pandemic has placed them front and center. According to a recent employee benefits survey, when choosing between a high-paying job and a lower-paying job with quality health benefits, 88% of employees would consider the lower paying job.”

Consider adding or increasing the employer contribution the following benefits…


  • Medical, dental, vision,
  • HRA, FSA, HSA
  • 401(k)
  • Employee Assistance Program
  • Fitness perks
  • Discounts for products/services
  • Health, legal, and financial counseling
  • Leave to care for self and/or family members
  • Allowances for home office technology


Reimagine Professional Development 

Offering learning and development (L&D) programs can be a powerful investment in a company’s future success. It can encourage lateral and upward internal growth and allow your company to stay up to date with changing industry knowledge and trends. L&D also aids in succession planning.


  • Provide tuition reimbursement or a learning allowance
  • Encourage participation in professional organizations
  • Provide opportunities for increases in duties and responsibilities
  • Provide mentorship or leadership development programs
  • Create internal career paths


Streamline Employee Application and Hiring Process

Optimize your job posting and simplify the application process by reducing the number of steps to apply for a job. “According to some studies, 60% of job candidates abandon their online applications because the process took too long or was too complex (some estimate the rate is even higher). For employers, this churn results in loss of top talent, reduced ROI on recruitment investments, and potentially bad reviews from would-be candidates.”


  • Be innovative and incorporate the company’s mission, vision, values into the process
  • Utilize a realistic recruiting technique in provide positives and negatives of the job
  • Be actively engaged in company banding use of social media
  • Personalize a candidate’s experience by telling a story/playing to the human experience
  • Speed up the hiring process, many candidates have several offers to choose from
  • Improve communication at every step in the process


Re-Vamp Employee Referral Programs

Employee referral programs help increase attachment to the organization and make employees feel as though they have a stake in the future of the business.


  • Reduce hiring time & recruiting costs
  • Increase employee retention rate
  • Increase ease in recruiting for hard to fill roles


If you need assistance with implementing any of these strategies, please contact your Simco HR Account Executive.

 



Sources:

https://www.michaelpage.co.uk/advice/management-advice/attraction-and-recruitment/create-great-employee-value-proposition#:~:text=An%20employee%20value%20proposition%20(EVP,they%20bring%20to%20a%20company.&text=When%20integrated%20into%20all%20aspects,attract%20the%20best%20external%20talent.

https://www.peoplekeep.com/blog/the-most-important-benefits-to-employees

https://www.salary.com/blog/understanding-the-salary-benchmarking-process/#:~:text=Salary%20benchmarking%2C%20also%20called%20compensation,pay%20rate%20for%20each%20position.

https://www.lucidchart.com/blog/how-to-streamline-the-job-application-process

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Understanding Credible Coverage, Affordable Coverage, and 2025 Marketplace Tax Credits

August 4, 2025
Navigating health insurance options can feel overwhelming, especially with all the terms and guidelines around coverage and affordability. At Simco, we want to help you and your employees make sense of it all, from understanding what qualifies as credible coverage to how affordable coverage is determined, and what the income limits mean for Marketplace tax credits in 2025. What Is Credible Coverage? Credible coverage refers to health insurance plans that meet or exceed the minimum standards set by government regulations. This is important because if you have credible coverage, you generally don’t qualify for premium tax credits through the health insurance Marketplace. Examples of credible coverage include: Employer-sponsored group health plans Medicare and Medicaid Certain veterans’ health plans Individual health insurance plans that meet minimum essential coverage standards Most employer-sponsored health plans, whether from small businesses or large corporations, are considered credible coverage. This means if you or your employees have health insurance through your job, it likely meets these standards, protecting you from paying unnecessary penalties and possibly disqualifying you from claiming Marketplace subsidies. Why does credible coverage matter? Because if you already have credible coverage, you generally won’t qualify for premium tax credits on Marketplace plans. The government uses this benchmark to ensure people aren’t “double-dipping” by receiving subsidies when they already have adequate insurance. What Does Affordable Coverage Mean? Affordable coverage refers to the cost threshold for employer-provided health insurance that determines if it’s affordable relative to your household income. The IRS sets this threshold annually, and for 2025, the maximum employee-only premium cost to be considered affordable is 9.02% of your household income . Here’s how it works: If the monthly premium you pay for employee-only coverage is less than 9.02% of your household income, your coverage is deemed affordable. If it costs more, you or your employees may be eligible for Marketplace subsidies or tax credits if you choose to enroll there instead. This affordability standard helps employees understand if they have access to reasonably priced insurance through their employer or if Marketplace options might be a better fit financially. Income Guidelines for 2025 Marketplace Tax Credits To qualify for premium tax credits that help lower the cost of Marketplace health insurance, your household income must fall within certain federal poverty level (FPL) ranges. For 2025, individuals and families with household incomes between 100% and 400% of the federal poverty level may be eligible for these credits. The exact dollar amounts vary depending on your household size and location, but generally, the lower your income within this range, the greater your potential tax credit. These credits are designed to make health insurance more accessible and affordable for people who do not have credible or affordable coverage through an employer. Why This Matters as the 2025 Annual Enrollment Period Approaches With the 2025 Annual Enrollment Period (AEP) approaching soon (October 15 to December 7), it’s the perfect time to review your Medicare coverage and evaluate your options. Many people discover that their current plans may no longer be the best fit, or that marketplace options and tax credits could help bridge coverage gaps. Simco is here to guide you and/or your employees through the complexities of health insurance during AEP and beyond. We’ll assess your situation, explain your options, and guide you through enrollment with confidence. Have questions? Contact us today! We’ve got you covered. 

Simco Launches Investment Advisory Services Through Simco Financial

August 3, 2025
At Simco, we’re always looking for ways to bring more value to the businesses we serve. Now, we’re excited to announce a powerful new addition to our suite of advisory services: Simco Financial , our new investment advisory division focused on business retirement plans. “This is a big step forward for us,” said Marc Simmons, founder and CEO of Simco. “Just like we’ve built strong advisory support around HR and benefits, we’re now doing the same for retirement. Simco Financial gives our clients direct access to licensed investment advisors, right from within the Simco ecosystem.” Why We’re Expanding Into Investment Advisory For many business owners, offering a retirement plan is a key part of attracting and retaining top talent. But navigating the complex world of 401(k)s, fiduciary responsibilities, and investment options can be overwhelming, especially when it’s not your day job. “We believe the retirement plan is an incredibly important part of the life cycle of a business,” Simmons explained. By bringing licensed investment advisors in-house, Simco can now deliver unbiased guidance on a range of retirement solutions, from custom 401(k) plans to products like the Simco PEP (Pooled Employer Plan). Whether clients are starting a new plan or reevaluating an existing one, they’ll now have a dedicated advisor to support them from strategy through implementation. What This Means for Our Clients “This advisory service is completely unbiased,” Simmons emphasized. “The PEP, which we often promote, is just one of the products we offer. Our team is here to advise on whatever platform or solution is truly best for your business.” In other words: you’re not locked into a one-size-fits-all option. Simco Financial advisors work with your goals in mind and help ensure your retirement plan is compliant, cost-effective, and competitive. What’s Next? For now, Simco Financial is focused on group retirement plans for businesses . Individual investment services are on the horizon, but not yet available. “We’re starting with the group side,” said Simmons. “But stay tuned, there’s more to come.” With this move, Simco is continuing to expand its value to clients as a true one-stop advisory partner . From HR and benefits to now retirement planning, businesses can get the support they need: simplified, centralized, and personalized. Disclosures: Simco Financial is a registered investment advisor and a division of Simco. Investment advisory services are offered through Simco Financial only to clients or prospective clients where Simco Financial and its representatives are properly licensed or exempt from licensure. The information provided herein is for educational and informational purposes only. Investment and Insurance Products Are: Not Insured by the FDIC or Any Other Government Agency Not a Deposit or Other Obligation of, or Guaranteed by, Any Bank or Bank Affiliate Subject to Investment Risks, Including Possible Loss of Principal Simco's Pooled Employer Plan (PEP) is offered through Simco HCM. Investment advisory services related to the PEP are provided by Simco Financial. Insurance products are sold through Simco Capital, which is licensed in the state of New York.

5 Reasons Why It’s Time to Automate Open Enrollment with a Unified HCM Platform

July 15, 2025
Open enrollment season: the yearly juggling act of compliance, employee questions, and endless paperwork. If you’re still managing benefits with spreadsheets, emails, and disconnected systems, it’s time for a serious upgrade. At Simco, we’ve seen firsthand how automating open enrollment through a unified Human Capital Management (HCM) platform makes life easier for HR teams and employees alike. Here are five reasons why your business should make the switch, and why your workforce will thank you. 1. Slash Errors and Save Time with Automation Manual benefits administration? It’s a recipe for costly mistakes and wasted hours. A unified HCM platform syncs data instantly across HR, payroll, and insurance, cutting out double entries and compliance slip-ups. That means fewer headaches for your HR team and more accurate payroll deductions for you. What you get: Real-time updates when employees change status or eligibility Automatic compliance checks Less time answering repetitive benefits questions 2. Give Employees a Smooth, Self-Service Experience Your employees live on their phones (whether it’s banking, booking appointments, or shopping). Benefits enrollment should be just as easy. With a single login, employees can compare plans, enroll, and update info anytime, anywhere. Bonus: AI-powered decision tools make choosing the right coverage simpler than ever. Why it matters: Boosts employee confidence, satisfaction, and engagement Fits their busy schedules, not yours Simplifies benefits communication and reduces HR support requests 3. Stay Compliant Without the Last-Minute Scramble Open enrollment comes with a complex web of federal, state, and local regulations that must be followed precisely. From tracking Affordable Care Act (ACA) requirements to managing COBRA eligibility and distributing mandatory notices, the compliance checklist can quickly become overwhelming, especially when benefits data is scattered across spreadsheets, emails, and disconnected systems. Without a centralized platform, HR teams often find themselves scrambling at the last minute to gather accurate information, complete audits, and submit reports, putting the organization at risk for costly penalties and damaging employee trust. A comprehensive HCM system builds compliance into the process from the ground up. Eligibility rules, coverage limits, and regulatory requirements are automatically enforced and updated, minimizing human error and ensuring you stay ahead of deadlines and regulatory changes, reducing stress and protecting your business. 4. Stand Out in a Competitive Talent Market Benefits remain one of the most powerful ways to demonstrate to your employees that they are valued. However, a confusing or frustrating enrollment process can quickly undo that goodwill, leading to disengagement and even turnover. In today’s competitive job market, providing a seamless benefits experience is no longer optional, it’s essential. According to our HCM technology partner isolved’s 2025 Workforce Report: 50% of employees say they would seriously consider looking for a new job following a poor open enrollment experience. 90% of job seekers actively compare benefits packages before accepting a job offer, often prioritizing ease of access and clarity. This means that a complicated or outdated enrollment process isn’t just an inconvenience, it’s a real risk to your ability to attract and retain top talent. Investing in a user-friendly, automated benefits platform helps position your company as a modern employer of choice, showing that you care about your employees’ experience every step of the way. 5. Free Up Valuable Time for Your HR Team Open enrollment season often means an overwhelming amount of compliance tasks, employee questions, and administrative work, all on a tight deadline. When benefits management is manual or spread across multiple disconnected systems, it drains your HR team’s time and energy. Automating open enrollment with a unified platform reduces the need for repetitive data entry and minimizes errors, which means fewer fire drills and less time spent fixing problems. This allows your HR professionals to shift their focus from paperwork to higher-value activities like employee engagement, strategic planning, and talent development. In other words, the right technology doesn’t just streamline processes, it gives your HR team the bandwidth to do what really matters: support your people and help your organization thrive. Ready to leave enrollment headaches behind? Get in touch with us today to see how a unified HCM platform can transform your benefits process, making it easier, smarter, and more employee-friendly.

Have a question? Get in touch.