The war for talent is raging all over the globe.
What is on the mind of your acquisition targets and your current workforce?
Money still plays an important role, but flexibility, job content, hybrid and employer branding (including ESG and DEI) are gaining traction.
There is talk of companies paying a few months of salary as a welcome bonus in order to convince top talent targets to sign on. That raises a question: Why would employees who take that offer once, not want to do the same, one or a few years down the road?
Maybe there is more value in explaining what the company stands for, its purpose, its brand and culture (including ESG and DEI). And to explain all the remuneration components, not just the salary, car and bonus, but also the second pillar pension, life and invalidity insurance, hospitalization and medical insurance, Enterprise Assistance Program, etc.
Indeed, money is not the most important thing in life. Actually many claim that it is only number six. Number one is health. Thus your hospitalization, medical, life and invalidity insurance and EAP offer is the most important remuneration component.
The number two priority in life is the health of family and friends. Opening your hospitalization, medical and EAP offer to direct family goes a long way in this regard.
The number three priority is an interesting regular daytime occupation. An interesting job with training and development opportunities in a strongly bonded team to which the employee really belongs and can do their thing in, with good leadership, should do the trick.
Number four is hobbies. If you provide a good work-life balance, including work schedule flexibility, you have a winning offer.
Number five is the projects in life. Those depend on the stage of life your employees are in. A few examples: Your hospitalization and medical insurance can play an important role when employees get or have children. Your EAP can help with the more difficult stages in life plus financial planning and mortgages. Your second pillar pension should provide income security for after work. Your life and invalidity insurance should provide comfort in those very sad situations.
Ultimately, the number six priority in life is money. You need at least some money to help making priorities 1-5 happen. There are many ways to fiscally optimize the total gross pay of the employee.
HR professionals often comment that the employees do not know all the components of the remuneration they get or do not seem to be really interested to learn about them. Indeed, quite a few employees are “blinded” by the money components of the remuneration package.
It is all about communication. A well-developed Total Reward Statement (TSR) can help a lot as can regular information sessions. Some companies also have a general TSR (without the actual amounts) for the potential newcomers they want to hire.
Obviously, your employees should live their lives and build their careers. They are in command. Still, if the employer is by their side in full support at the different stages in life, with a complete remuneration offer, money and services, that will not go unnoticed.
Eventually employees may leave the company. Make sure that they feel that they can come back to your company anytime. Keep the door wide open. As many have experienced before, the grass is not always greener on the other side of the fence. As such, there are quite a few good examples of ex-employees who came back after a few years and continued to thrive with the company until retirement.
The six priorities in life
- Health of family and friends
- Interesting regular daytime occupation
- Life projects
Use the six priorities in life as your framework for communication on everything your company pays, or the services it provides, for your employees’ well-being. Use it in your Total Reward Statement and organize information sessions for your employees.
About the author
Dave Deruytter, Managing Director, Trust-Int Consulting
Dave Deruytter has been active in international business since more than 30 years. Recently he started his own business Trust-Int Consulting active in health & retirement Solutions, life planning & cross-cultural training.