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Employers don’t have to offer a higher salary to employees who opt out of benefits, like health care coverage. In fact, going down that path could lead to more headaches in the long run.
For starters, an employee’s need for benefits could change at any time due to death, divorce, etc. Also, optional benefits are part of a company’s total compensation package that often includes benefits that employees don’t pay for, such as life insurance or disability pay. If an employee presses the issue, let them know that discussing their salary is a separate conversation based on their role at the company, as well as market rate.
The best way to handle these tricky situations is to first meet with company leaders to make sure everyone is on the same page. Then, craft a general, uniform message to pull out at a moment’s notice when the topic comes up. Tailor the response based on the company’s philosophy, culture, and leadership input. Pay can be a sensitive subject for employees, so make sure to be empathetic and understanding if an employee must be told “no.”