The Complete Guide To Employee Benefits In The Construction Industry

These realities make employee benefits more than just a nice-to-have; they are essential. They are an integral part of responsible workforce management.

What Are Construction Employee Benefits?

Construction employee benefits are financial and wellbeing protections provided by employers to support workers during illness, injury, bereavement, or hardship. These may include sick pay, death-in-service benefits, accident cover, and disability support, customised to the unique risks associated with site-based roles.

Why Construction Needs Specialised Benefits

Construction workers face risks and working patterns that differ from those in many industries. Key factors include:

• Physically demanding roles involving heavy machinery
• Regular travel and project-based employment
• Multiple subcontracting and agency layers
• Inconsistent access to sick pay or insurance
• Higher likelihood of injury or extended time off work

That's why industry-specific schemes like Welplan's exist: to offer practical, tailored support that standard insurance can't match.

Firms that offer benefits such as sick pay, accident coverage, and death-in-service protection send a clear message: they value their people. When employees know they have support during difficult times, their loyalty tends to increase. Absenteeism tends to decrease. Recruitment becomes easier. The overall health of the workforce improves.

Construction Employee Benefits At A Glance

Construction Sick Pay, Death Benefit And Disability

Employee benefits in the construction industry often focus on three core areas: sick pay, death benefits, and disability cover. These provide financial stability when workers face some of life's most difficult circumstances.

Sick Pay

Sick pay ensures that operatives receive an income if they are unable to work due to illness or injury. Unlike statutory sick pay, which may not reflect real-world living costs, enhanced sick pay through a group scheme offers greater security. It helps workers manage their financial responsibilities without rushing back to work before they are ready.

Death Benefit

A death benefit provides a lump-sum payment to an employee's family upon the employee's death. This support is especially valuable in the construction industry, where many workers are the primary earners in their households. Welplan's schemes include cover for death from any cause, including accidents and even suicide, giving families vital peace of mind.

Disability Cover

Disability cover, including lump sum payments for permanent total disability or accidental dismemberment, protects workers who face lasting impacts from a serious injury. These benefits acknowledge the long-term impact such events can have on a person's ability to earn a living.

Together, these benefits address the most urgent financial risks faced by construction workers. Employers who offer them demonstrate a genuine commitment to the wellbeing of their teams, while also safeguarding the continuity of their business.

Insurance vs. Discretionary Schemes: What's The Difference?

Employers exploring benefit options for their workforce often compare traditional insurance with discretionary schemes. While both provide financial protection, they operate in very different ways.

Insurers assess claims against strict policy wording, and they decline payments if the terms do not match exactly. Medical underwriting often restricts access for some workers by imposing additional requirements.

Workers typically want:

• Stability between projects
• Clear communication on entitlements
• Fast claim payouts
• No medical hurdles
• Cover that respects the realities of site work

Welplan's discretionary schemes follow a different path. Trustees issue benefits directly from a trust fund, not through an insurance company. Employees become eligible upon commencing employment, without undergoing medical checks or disclosing their health history. Trustees review claims fairly and apply the scheme's rules with flexibility, rather than enforcing rigid contracts.

This model suits construction firms well. It enables simpler enrollment, tailored benefit levels, and better alignment with site-based and project-based working patterns. Importantly, discretionary schemes prioritise support over profit. Welplan pays over 99% of claims, based on historical data. All claims are reviewed fairly in line with scheme rules. Employers trust that their staff receive timely support, and workers know they can count on help when it matters most.

Why Choose Welplan For Construction Employee Benefits

Welplan's approach is built specifically for the construction industry. The model utilises discretionary trust schemes to provide fair, flexible, and efficient support for employees, without introducing the complexity of traditional insurance products.

One of the most essential features is that Welplan removes the need for medical underwriting. Workers receive cover from the day they become eligible, regardless of their health history. That flexibility matters in construction, where physically demanding work often leads insurers to flag pre-existing conditions.

Welplan also builds flexibility into the scheme from the start. Employers can choose the benefits they want to provide, including sickness cover, death-in-service benefits, lump sum accident payments, and permanent disability support. This flexibility means firms can align their employee benefits with their budget and workforce needs, even on short-term projects.

High claims success rates are another significant advantage. Welplan pays out in over 99% of cases. Trustees make decisions with a clear focus on supporting workers and their families, rather than denying claims for technical reasons.

Welplan's model also ensures personal service. An in-house UK-based team handles all claims and customer support. There are no call centres or automated systems. Employers and employees deal with real people who understand the industry and how it works.

Lastly, Welplan reinvests its profits in the construction sector through BESA, thereby maintaining the value within the industry rather than distributing it to shareholders.

This combination of flexibility, reliability, and alignment with industry standards makes the Welplan model a practical and ethical choice for construction employers of all sizes.

Benefits For SMEs And Project-Based Firms

Small- and medium-sized construction firms face unique challenges when offering employee benefits. Budgets are often tight. Workforces can fluctuate based on projects. Traditional insurance products may feel inflexible or overpriced for what they deliver. Welplan provides a clear advantage in these situations.

Welplan's schemes are ideal for firms with between 50 and 250 employees, the sweet spot where a company is large enough to benefit from structured cover, but not so large that it can self-insure. These businesses need straightforward, affordable options that do not compromise on quality or reliability.

One key advantage for SMEs is the ability to tailor benefit packages to their specific needs. Employers can choose which benefits to offer, set the level of cover, and adjust these choices as projects and teams change. That approach prevents employers from overpaying for unused cover or falling short of staff expectations.

Welplan also supports short-term and project-based employment. Unlike some insurance providers that require annual contracts or long-term commitments, Welplan can provide cover for short durations. This flexibility is beneficial for subcontractors, site workers, and teams engaged in large-scale developments, such as Hinkley Point C.

By offering access to sick pay, death benefits, and accident cover without medical checks or complex onboarding, SMEs can provide big-firm protection with small-firm agility. The result is a more competitive offer to potential recruits and a stronger sense of loyalty among existing staff.

Ultimately, the Welplan model helps smaller firms compete on value, not just pay. It brings professional-grade protection into reach and supports a more resilient, people-first approach to workforce management.

How To Choose A Construction Benefits Provider

Choosing the right benefits provider is a critical decision for any construction firm. It affects not only employees' well-being but also the business's reputation, compliance, and stability.

Start by assessing your workforce's specific needs. Consider the size of your team, the nature of their work, and the typical risks they face. A provider should offer cover that reflects these realities, not a generic one-size-fits-all product.

Look for a scheme with transparent eligibility and claims processes. In construction, where workers may join and leave based on project cycles, rigid entry requirements or lengthy claim procedures can create delays and frustration. Providers like Welplan offer flexible enrolment and handle claims quickly, often within two working days.

Evaluate the provider's claims track record. High payout rates indicate that the scheme prioritises supporting individuals rather than avoiding responsibility. With over 99% of claims approved, Welplan stands out in this regard.

Ask whether the provider offers personal support. Construction sites run on relationships and trust. Employers and workers alike value having honest conversations with someone who understands their environment. Welplan's UK-based team offers direct, informed assistance without outsourcing or automation.

Finally, consider the broader impact. Choosing a provider that reinvests in the industry, such as Welplan through BESA, helps build a stronger construction community overall.

By focusing on relevance, reliability, and sector alignment, construction firms can choose a benefits provider that not only protects their workforce but also enhances their standing as a responsible and attractive employer.

How To Set Up A Construction Employee Benefits Scheme

Setting up an employee benefits scheme in the construction sector can be simple, flexible, and scalable when you partner with the right provider. Here's how it works with Welplan:

1. Choose Your Benefits - Select the benefits that best suit your workforce, such as sick pay, death-in-service, accident cover, or disability protection. Welplan lets you tailor coverage to your budget, project duration, and workforce size.
2. Enrol Employees - After you've chosen your scheme, enrolling your employees is quick and hassle-free. Welplan supports automatic enrolment with no medical checks, minimal paperwork, and eligibility beginning from the start of employment.
3. Start Cover and Access Support - Once the scheme is live, your team is covered. Employees can submit claims easily to Welplan's UK-based squad, with most processed within two working days. Over 99% of claims are approved. Ongoing support helps ensure your business meets employee expectations while protecting your workforce.

Whether you're a growing SME or a large contractor, setting up a tailored scheme helps you retain staff, support wellbeing, and meet workforce expectations.