In a competitive job market, the secret to retaining your company’s top talent usually lies in the type of compensation packages offered. As many human resources professionals can attest, hiring in today’s job market is competitive. Being able to attract and recruit effectively hinges on what you as a recruiter can offer. Above and beyond salary, there are several other ways for employers to compensate their top performers and keep them within the company.
According to a recent survey by Paycom.com, the top reasons employees leave are a lack of trust in senior leadership, ‘>insufficient pay, unhealthy/undesirable culture, and a l’>ack of concern for development. They also go on to state that for every top performer that leaves, an average of two other top performers follow. That’s why it’s more important than ever to keep your talent happy by providing competitive compensation packages.
Here are a few ways use your compensation benefits to retain top talent.
Provide continuous career development
Most Human Resources departments don’t think of it this way, but providing career development is an excellent perk to offer employees. Technologies change so frequently that it’s imperative to stay on top of training in every industry. This not only helps the company, but it makes your employees more accomplished. It’s important as a company to have employees who are well-known within their industry, since they can shine a light on the company when make conference appearances, etc.
Provide competitive salaries
One of the biggest reasons employees leave their company is a lack of adequate salary. If you have really good talent in house, they may be getting 2-3 offers a month from companies that are able to pay more and offer better benefits. Making sure that your salaries match the market rate will keep them working for your company a lot longer. There are several free tools out there that allow employers to determine what they should be paying their employees, based on a variety of factors.
Help them prepare for retirement
According to financial experts, most employees will require 75-80% of their current salary each year to keep up with their current lifestyle after leaving the workforce. Find ways to help your talent invest in retirement savings so that staying with your company helps them prepare for their future. Being proactive in this area will reward your top talent for staying with your company until they retire.
When it comes to retaining top talent, it’s important to understand their career and personal goals so you can fine-tune your compensation benefits. If you’re not able to retain top talent, your company will suffer from having to train and retrain employees, and this can distract from product development and company growth. Holding on to these high performers and keeping them happy is well worth the time and the effort of making it a priority for your HR department.
Eric Friedman is the founder and CEO of eSkill Corporation, a global platform for complete candidate skills and job fit assessment. eSkill’s online skills testing is used by thousands of employers for pre-employment assessment and staff benchmarking. Eric has degrees in Psychology and Business, and a fascination with matching people with roles they're best at, and that they enjoy.