07 Aug Using Total Rewards to Navigate a Competitive Labor Market
Attracting and retaining top talent continues to be a challenge for employers, especially in today’s competitive labor market. It’s now more important than ever for companies to appeal to both existing and prospective employees through effective total rewards strategies. The process of compiling a strategy encompasses a few key steps:
- Using an employee survey or conjoint analysis to assess which rewards are most important to which segments of the workforce
- Performing a total rewards market analysis via published survey data to determine where your organization stands against competitors in terms of compensation, benefits, retirement, PTO, and non-cash benefits
- Holding key stakeholder meetings to establish your company’s desired position in the market, including at, near, below, or above the 50th percentile for pay and other elements
- Taking inventory of rewards not offered, and determining the price impact for each
- Developing your total rewards strategy and communicating it throughout the organization
There are many sample total rewards programs you can review containing a broad range of benefits such as medical, vision, and dental insurance, along with HSA, tuition reimbursement, and student loan assistance, among others. Ultimately, however, it’s important to consider what the employees in your organization value most. Each company culture is different, and there are effective strategies available for determining how employee needs merge with the market and business needs.
Ultimately, finding out what your employees expect and then tailoring your total rewards options accordingly will require an investment of time and effort. In the process, however, you may uncover valuable insights that can be used to improve your company culture and brand, and to empower employees to develop their careers in ways that benefit both themselves and the company.
HRsoft is the trusted global leader in compensation management software whose COMPview solution is proven to control and simplify the full process and allocation of merit, bonus and equity awards to drive manager and employee engagement.