Having a strong business means hiring the best talent on the market. This is a given. But winning that talent comes down to making a compensation offer so sweet they won’t even think about going to your competition. And this also goes for developing employee loyalty later down the road. Without a well-designed compensation strategy, your business wont get the kind of people onboard that you need to expand operations.
Making Compensation a More Positive Aspect of Your Organization
Experts believe that it’s starting to become a job seeker’s market again, especially when it comes to recruiting specialists and older workers. Minorities and women who possess skills in the STEM industries are in particular demand by employers. With more Baby Boomers choosing to stay on the job for longer periods of time, and new generations of technologically savvy candidates joining the workforce, employers must offer more than average salary and benefits.
The hiring market is heating up across many sectors so employers can either boost compensation offerings or “get out of the kitchen”.
When it comes to developing a compensation program to reel in the best candidates, organizations can take a few simple steps. These include:
- Benchmark ALL current and future jobs against the market.
It’s important to understand how well your compensation stacks up to the competition. Conducting an across-the-board market salary study takes time, but it’s well worth the effort. You’ll know without a doubt how well you are compensating your current and future workforce and you’ll be able to predict with some degree of certainty how well your recruitment efforts will perform.
- Find employee benefit programs that offer better options.
One of the biggest challenges for compensation managers today is being able to offer affordable wellness benefits. Along with salary, health and financial benefits make up at least 30 percent of an overall compensation plan. Seek out benefits that are reasonably priced, and offer more than the standard plans so employees have more choices.
- Increase compensation with low cost incentives.
Give your compensation a major leap with free and low cost incentives. You can create a more well-rounded compensation program that gives employees access to discounts and services that other companies cannot offer. Examples of low cost incentives can be voluntary benefits, profit sharing, on-the-job training, and company recognition.
- Develop transparency about compensation.
There’s a great deal of talk about being more open about what you offer to employees. Transparency in compensation is becoming increasingly important because job seekers now have access to online research tools of their own. A smart candidate is going to check out what the best companies in his target market have to offer before sending in an application.
- Make your work culture a force to be reckoned with.
Instead of offering a corner office and a decent salary, why not up the ante by giving your workplace an overhaul? Get some primo office furnishings to modernize the environment. Hire a consultant to redesign work spaces for more open collaboration. Develop some unique work perks that no other company can offer. Make a reputation as the employer of choice in your industry with a positive compensation program that speaks volumes to candidates.
A great culture goes a long way toward employee engagement and happiness. Learn how to create a culture of learning in this PayScale whitepaper: Creating a Culture of Learning