Every successful business wants to attract and retain top talent, creating a positive work environment where employees can thrive and effectively contribute to organizational goals. But having competitive benefits and salaries is only the first step for accomplishing this. It is also essential to inform your employees as to the full value of what they are receiving from your organization. An ideal method for this is a total rewards statement, which provides a clear and concise overview of each employee’s compensation and benefits.
Attract and retain top talent with clearly defined benefits
High performing companies have already discovered the value of utilizing total reward statements to attract, motivate and retain employees. Today, even smaller organizations are embracing the idea of educating employees on the comprehensive monetary value of working for their organization. Companies may also chose to highlight the other “soft benefits” of working at their organization, such as flexible work schedules, access to the latest technologies, and opportunities to grow and develop their skills.
A well designed total rewards statement should be organized in a manner that is easily comprehended by the employee. It should include the list of benefits such as healthcare, life insurance, flexible spending accounts, retirement contributions, tuition reimbursement, and any other compensation details for a specific employee. This enables employees to have a clear understanding of how they’re rewarded, how they’re protected, and how to capitalize on their plan in the future.
Maintain ongoing communication about total rewards
The total rewards statement will have greater impact if there is a well thought out and ongoing plan for communicating and delivering this information to the workforce. A key component to this includes ensuring your supervisors are well-versed in your program and able to communicate it effectively to their employees. Encouraging employee feedback is also helpful for keeping your total rewards relevant; This will help to improve employee engagement and enhance the value of this activity for the organization.
Creating an improved form of communication reflects well on your company as a whole, highlighting the strengths of your organization, and ultimately leading to greater success. Often times, employees lack awareness of the organization’s financial commitment and investment in the workforce. Increasing your employees’ understanding of their total rewards is a low-cost yet effective method for increasing employee engagement and retention.