Years ago, a college graduate had a long-term future and a pension plan with a single company to look forward to. Nowadays, however, the average life-span of a career is determined by the performance of the company. In uncertain times, working professionals are seeking compensation that’s outside of traditional salaries and retirement perks. They are looking for a compensation strategy that’s based on their individual contribution and competency.
Offering More Than Just a Paycheck
As a growing organization, it makes sense to develop an improved compensation strategy. Why? Your business needs to attract the best candidates who can innovate and lead your company in the industry. Secondly, in order to retain high performance employees, your compensation plan should offer more than just a competitive salary. Having access to additional compensation, whether in the form of added financial benefits or non-monetary incentives, can go a long way towards creating a loyal employee population.
To make your compensation strategy better, here are five surefire ways to boost your employee incentive plan.
- Performance based promotions
When employees understand that the only way they can earn more is to perform at higher standards, they are generally more motivated. Providing generous pay for performance with regular performance meetings each quarter works better than a once-per-year evaluation.
- Corporate recognition awards
Employees thrive in a work environment where they receive frequent feedback and praise from superiors. This is particularly true when it comes to Generation X and Y candidates. Simple certificates of achievement tied to a special rewards program works nicely.
- Industry educational support
In progressive workplaces, employees who are encouraged to become lifelong learners often become top performers. Giving employees the tools and resources to achieve industry certifications and degrees can help to elevate the quality of work produced, while providing a meaningful career incentive that’s recognized by all.
- Corporate wellness programs
A healthy work environment means a productive environment. When employees are given the resources to maintain health on-site, they tend to make an effort to be more aware of their personal health. Multiple studies have shown that corporate wellness programs can be used to boost compensation plans and ultimately reduce many health related costs.
- Flexible and collaborative work options
Employees are looking for ways to improve their work-life balance, therefore offering the ability to work a flexible schedule or from a collaborative home environment can be viewed as a major plus. When presented as part of a compensation strategy, this can help your recruitment and retention rates enormously.
Giving employees a robust compensation program can serve to help your business grow over the long term. Maintaining a loyal employee population helps to increase productivity and profitability, therefore a generous compensation strategy supports this effort.