Written by: Holly Esquivel, Senior Divisional Director
We’ve all heard the phrase, “It’s not you…it’s me”; and, if you play a part in making hiring decisions for your company, you’ve probably recently heard a version of this 2000s turn down. Chances are you’ve heard it more than once in the last 12-months. As reported by SHRM, wage increases for 2022 at an all-time high yet companies are seeing “The Great Resignation” still carries on and job seekers have choices. The reality is, you’re not alone. The pre-pandemic “Talent Wars” continue, and many companies are feeling the pinch as job seekers today are seeing an opportunity to gain compensation not only in dollars, but in what is referred to as “Total Rewards”.
While the “Total Rewards” concept has been existence far before the COVID 19 Pandemic, the rank of importance of each component has shifted for many. Across all of our Divisions, we have seen an average of 15%-25% salary increases in offers extended to job seekers moving from one company to another. Offering a competitive base salary is as important as it ever was, but nearly 1/3 of job seekers said they are considering leaving their job for remote capability or flexible hours. In a time of “having your cake, and eating it too” as a job seeker, what can organizations do to “win” exceptional talent? We asked Director of Total Rewards with Holt CAT, Dianna Perez “what is the biggest challenge in Total Rewards offerings today?” She shared, “… adjusting to the fast-changing market. We still need to be able to use compensation practices, but be open to finding creative solutions to find and retain talent.”
- Consider Work Schedules & Work Locations Policies – Per Forbes, 80% of Americans today expect flexibility. Are you positioned to offer daily schedule options? Are you equipped to allow your team members to work in a remote capacity? Consider your options and build a policy that applies to all employees.
- Evaluate Transparency in Pay – some States have taken action to bring conversation about compensation to the forefront. Create an annual valuation statement for your employees to see the total compensation and value in your Total Rewards. Do your employees truly understand how they are compensated?
- Work Life Choices – Do you employees have balance? Some companies have gotten creative in their time off models. Models to consider include Unlimited Time Off, increased earned time off and time off specific to volunteerism. Companies of all sizes and industry have taken this strategy to encourage their employees to find the balance between work and personal time.
- Professional Development – Engaged employees want to know where they fit in the company’s long-term goals and objectives. What are you offering today in terms of professional development? Consider evaluating or creating the career paths for all your employee groups and develop a robust Training & Development program. Dianna shared “Career growth needs to be a part of the conversation early. With so many options available in the market, we have to provide the same opportunities internally so their (employees) need to grow is satiated while remaining a valued employee.”
We asked Dianna her final thoughts on what she considers the most important piece of Total Rewards today… “Company culture is the most important piece of our value proposition.”
With all that has changed, there is one thing that remains constant – individuals will look to join and remain with organizations that they feel like they belong to.