Driving Retention Through BEnefits—Strategies for Churches and NonProfits
Recently on X (formerly Twitter) a number of pastors and nonprofit leaders engaged in a spirited (if not heated) debate regarding sabbatical leave for church and nonprofit leaders. Rather than argue for (or against) any particular benefit, I want to instead argue that in a rapidly evolving job market, nonprofit organizations and churches face unique challenges in attracting and retaining dedicated employees and benefits offerings play a key role in driving retention and engagement. While the corporate world has seen a surge in diverse employee benefit offerings—rising from 175 options in 2022 to 216 in 2024, according to the SHRM Employee Benefits Survey—nonprofits and churches must carefully choose which benefits best align with their mission and employee needs while remaining cost effective.
So, how can nonprofit and church leaders navigate the growing list of benefits to maximize employee engagement and retention?
Understanding the Core Benefits Landscape
For many organizations, the staples of health care, retirement, and paid time off remain foundational. But as the landscape shifts, employees increasingly seek more than the basics and are looking to work where they can flourish holistically. Options like mental health support, flexible work arrangements, and family care benefits are growing in importance and with a shrinking labor pool especially among the clergy, churches and nonprofits must rethink their benefit offerings to attract the right talent to support their growth. Churches and nonprofits, with their strong mission-driven ethos, have a unique opportunity to lead in offering benefits that speak to the well-being of their staff and help them to thrive in and out of the office.
The real challenge lies in selecting the right mix of benefits that resonate with your workforce while staying cost-effective as no employer can offer every benefit. As Daniel Stunes from SHRM Data and Insights notes, “There is a huge amount of different benefits employers can provide now, and more new ideas come up all the time.” This means what matters most in your benefits offering is identifying what matters to your current workforce and talent pool.
Tailoring Benefits to Fit Your Workforce
Nonprofits and churches have diverse teams that may include a mix of full-time, part-time, and volunteer staff. A one-size-fits-all approach won’t work in this environment. Instead, leaders must consider their team's specific needs by offering tailored benefits that speak to both mission and employee well-being.
For example:
Mental health and spiritual support: Faith-based organizations can incorporate spiritual counseling services alongside traditional mental health resources to reduce costs and personalize care.
Flexible working arrangements: Churches and nonprofits can offer flexibility in schedules or remote work options, which can be especially valuable to those balancing family commitments or personal ministry work.
Volunteer and sabbatical leave: Many employees are deeply passionate about giving back to the community. Offering paid time off to volunteer or for extended ministry work can foster deeper engagement with the organization's mission.
Gathering Employee Feedback to Guide Decisions
A key strategy for building an effective benefits package is to directly ask employees what matters most to them. Calven Engstrom from SHRM highlights the importance of managing employees’ needs: "At the end of the day, it’s doing what you think would make your employees happy.”
Churches and nonprofits can utilize:
Employee surveys: Create simple but effective surveys to gather insights on what benefits your employees value.
Focus groups: Host meetings with key staff to dive deeper into specific needs and potential new benefit offerings.
Exit interviews: Learn why staff may be leaving, and use that feedback to refine your benefits strategy moving forward.
Aligning Benefits with Mission and Values
For nonprofits and churches, every decision, including benefits, should reflect the organization’s core mission and values. While innovative benefits like grandparent leave and menopause support are emerging in the corporate world, it's crucial to discern which benefits align with your team’s unique needs.
Faith-aligned benefits: Churches could consider offering spiritual development stipends or access to theological training resources.
Community engagement perks: Providing staff with opportunities for local outreach or family care support ties directly into many nonprofits' service-oriented missions.
Taking Action on Feedback: Make Benefits Meaningful
Listening to employees is only half the battle. Acting on their feedback is what will drive retention and engagement. According to Cassandra Pratt from Progyny, employee input should guide which benefits to offer, allowing organizations to make thoughtful adjustments based on the actual needs of the team.
In churches and nonprofits, benefits packages that evolve based on feedback can have a profound impact, fostering loyalty and reducing turnover.
Moving ForwarD
The time is now for nonprofit and church leaders to rethink their benefits strategy. By engaging with employees, offering tailored, meaningful benefits, and aligning offerings with the organization’s mission, leaders can create a workplace culture that drives engagement, retention, and long-term success.
Let’s Take the Next Step Together:
Let’s connect and talk through how Fortress can support your organization in tailoring your benefits offering to your team to drive engagement and retention. Together we can:
Survey your team: Discover what benefits your staff truly value.
Evaluate your offerings: Are your benefits meeting both personal and professional needs?
Invest in employee well-being: A holistic benefits strategy will not only serve your employees but also enhance your organization's mission-driven impact.
By making thoughtful choices, we can work together to create a benefits package that truly supports your team, ensuring they remain engaged, fulfilled, and committed to your mission.