Big resignation is about employers, not employees

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Awardco is a Business Reporter client

In today’s economy, it is increasingly difficult to attract and retain talent. Enter reward compensation – the ultimate in employee rewards

If it sounds like we’ve all been talking about the big resignation lately, you’re not alone. We keep talking about it because it is such a big part of any business leader’s vision – and the corporate mindset on how to best retain employees at a time like this is evolving rapidly.

It is becoming increasingly clear that workers are no longer satisfied with the average wage and benefits. If an employee doesn’t care about his job – or perhaps more importantly, he doesn’t feel his job does – even an above-average salary isn’t enough to keep employees. to them. A competitive salary is only the first step in demonstrating this type of workplace loyalty to employees, but organizations need to create the right kind of ecosystem to support employees in many different ways.

Without such an extensive ecosystem, retaining the best talent will continue to be a struggle. In a SHRM survey last year, 49 percent of managers surveyed reported that their companies have experienced a significantly higher turnover rate in the last six months, with 84 percent saying that openings have not been filled for longer than usual. Obviously, attracting and retaining good talent is particularly important to many business leaders. What can employers do to stop this tide?

The first thing to do is find out exactly why employees are leaving and what attracts them to other opportunities. Another SHRM study He found that there was a disconnect between why employees left and why managers thought employees were leaving. Consider: percent of employees seek new employment because they want better compensation, but only 26 percent of managers think employees want better compensation. And that’s not all: 36 percent of employees search because they want better benefits, but only 28 percent of managers think employees want better benefits.

It’s clear that there is a huge disconnect between what employees want and what business leaders think employees want. Leaders need to understand that they need a comprehensive compensation strategy (including employee engagement) to recruit talent and build employee engagement.

But money isn’t the only way to do this. Loyalty isn’t created by weight marks – it thrives best in an environment of caring and emotional connection. Many feel that these principles have nothing to do with business, but we must incorporate them into our current employee retention strategies to meet the challenges ahead.

How can you increase your compensation strategy?

To retain good talent and attract new talent, we must make people feel valued at work, through both compensation and recognition. Creating a culture in which employees feel valued (another way of demonstrating work-related care and emotional attachment) plays a big role in retention.

There are a few other options to consider for increasing retention.

Offer flexible working options: Full remote and hybrid working models are great options that can enhance your compensation package as a whole. Some companies are even shortening work weeks to offer more flexibility to their workforce. This kind of commitment to the personal lives of employees creates a strong, healthy commitment in both directions.

Give regular recognition: Recognition is a very important part of your compensation strategy. In a recent study by Maritz, more than 40 percent of people said they look at a company’s recognition program when considering employment. Also, don’t think that recognition and rewards should include monetary compensation. Great examples of non-monetary recognition include verbal thanks, handwritten notes, official certificates of appreciation, or simply meaningful conversations between a manager and a direct report. Expressing thanks and appreciation costs little.

Provide educational support: Employees will feel valued when they realize that their employer values ​​their future and success. That’s where training opportunities and industry certifications come in. Adding career development to your upgraded pay package will help employees gain additional skills, which will benefit them and the organization in the long run. Loyalty is a two-way street, and investing in your people is a great way to maintain it.

Monetary compensation is part of the puzzle

Money is still a huge motivator for employees and you shouldn’t ignore it as part of your compensation strategy. However, do not think that this is the only thing you can do. If you already offer competitive pay, consider these options to persuade talented employees to come and stay.

Performance based bonuses: The type of talent you want to retain is the type of talent that often exceeds expectations. These are the types of people you should try to be satisfied with with the right compensation. Employees will remain motivated to strive for greatness while you reward them for outstanding performance.

Award compensation: Offer compensation beyond the monthly salary. Providing regular compensation (even if it’s only a few pounds extra depending on each employee’s experience) is a great way to show your employees that you care about their happiness and personal lives.

When you provide this reward compensation People will use it for items or activities they enjoy rather than less exciting needs, rather than needing to be used for daily expenses or utility bills (as in the form of points). This type of bonus compensation will effectively build more loyalty.

Reward compensation is a new piece of the puzzle that has come to the fore in many HR circles. Awardco is at the forefront of awards compensation and is at the forefront of achieving greater equity in bonus distribution and compensation. Reward compensation will become a competitive advantage that many organizations can use to attract and retain good talent.

Turning a big resignation into a big hold

The big resignation may continue furiously for the foreseeable future. Creating a culture that goes both ways, driving behavior and fostering loyalty is how businesses should approach this challenge. Above all, remember that when employees are treated with loyalty and care, they will naturally be more loyal and invested in the places they work for. It’s a beautiful cycle that can empower organizations everywhere.

To learn more about reward compensation and how it can benefit your organization, visit us online at: prize.co/awardco-pay

Originally published business reporter