There’s more to Employee Compensation than Salary

Let’s work together to build an organization that intentionally merits the gifts of creativity, passion, and initiative your employees bring with them every day. A well-designed employee group plan is the PROMISE kept from an employer to their employees.

Employee compensation is so much more than their salary

Without practice, the cultural ideals found posted on the wall of the lobby is simply a creative piece of art. Living these values takes practice and buy-in from all parties of the corporate structure, most especially the day-to-day talent. This cannot be bought or told. Instead, a culture needs to be lived. The failure to link culture and compensation is one reason, studies suggest, that some companies struggle with overall engagement and long-term retention.

Developing a cohesive strategy to blend compensation to reflect the core culture will assist in motivating staff, allowing them to see and more importantly, “feel” that they are valued.

According to payscale.com 2021 Compensation Best Practices, there is a vast disconnect to the percentage of companies who suggest that their staff are fairly compensated, compared to the employee perception. Top of mind is recognition and engagement, not simply salary. Here are some other tips for the creation of a total compensation plan:

• Provide clear and effective roadmap for employee career progression and how compensation is linked to long term employment. This allows employees to feel they have been heard and valued for their long-term personal growth within the company.
• Creating a compelling benefits and wellness program. There are not one and the same. Some identify these in terms of protection of life, financial, catastrophic events, physical, emotional, and lifestyle. In addition to insured benefits, health spending accounts create a strategic blending tool to take advantage of non-taxable compensation. A wellness program promotes active and healthy lifestyles, improving overall mental health.
• Technology and continuing education tools. This option allows employees to keep up to date with the latest trends impacting their core work so their productivity never legs behind what is expected on a go-forward basis. Additionally, such a program could segway into an in-house mentoring program to foster succession between retiring and up and coming employees.
• Communication…on-going and consistent is a must to reflect the company culture. This will ensure employees are never left out of the loop or behind when changes are happening. They will feel heard and part of the team. Communication, whether verbal, written, or virtually needs to constantly re-enforce the value proposition.
• The inclusion of vacation and personal days should not being seen as one in the same. Implementing these without judgement on “how” they are utilized independently by staff members goes a long way to build trust. While one employee may need additional sick days for the traditional doctor’s visits, another may use the time for personal time with children, while still other’s may volunteer.
• Flexible schedules, half time, remote work, or job sharing opportunities allow for a broader work-life balance on the see-saw between personal and professional commitments. As one employer in a call centre found, the flexible schedule allowed employees who take public transit to accommodate the bus schedule in line with their work day more effectively.
• Don’t forget the social and the value of the water cooler chatter. Even in a remote environment, companies need to find ways to engage and continue the culture value message to their staff. Take the time to plan unique events and opportunities for idol chitchat amongst the peers outside of the regular and expected “meetings”.