Money Doesn’t Always Make the World Go Round
You need the right mix of support, trust, benefits, rewards and salary if you want to attract and retain the very best people.
Despite a year of economic uncertainty, businesses across the UK have continued to invest in their workforce according to the UK’s leading independent job website.
CV Library’s latest market report shows that average salaries rose by 1.9% in February when compared year-on-year. The data also confirmed an increase of 7.6% in job vacancies for the same period.
With industries like automotive (9.1%), manufacturing (7.7%), legal (7.5%) and accounting (6.4%) seeing the largest pay rises – and cities like Brighton (+9.9%) and Edinburgh (+9.5%) leading the way – it’s clear that skills shortages and high living costs mean a competitive salary is critical when recruiting the best people, but it’s by no means the only factor.
Employers regularly use bonuses as a way to supplement wages and reward staff. They work well as a productivity incentive, keeping people engaged for the duration of a project. They also allow a company to maintain control of their long-term remuneration budget.
As long as the overall annual salary and role are broadly competitive, I find it’s the company culture and benefits package that tends to tip the balance when someone is deciding on their next move.
From free food and drink to a day off for Christmas shopping, everyone prefers a company with benefits. It shows they care and that can have a big bearing on how valued people feel.
The most popular benefits include holidays, life assurance, pensions, free parking, car allowances, salary sacrifice schemes (health or childcare vouchers), study support, private medical insurance and flexible working hours.
There has also been a move towards encouraging a healthy and productive workforce through well-being programmes, financial incentives for biking to work and discounts on gym and leisure club membership.
Onsite medical and GP care is something American company SAS make available. Negotiated discounts at local pubs, restaurants and health and beauty salons are something Skyscanner offer.
SC Johnson provide a private concierge service that improves staff focus by giving people an easy way to complete their life admin; which can be anything from picking up dry cleaning to taking your car to the garage and even shopping around for insurance quotes.
Global accountancy firm PwC offer a four week sabbatical to senior staff with over five years’ service; encouraging them to recharge their batteries and come back in to the business rejuvenated and refreshed.
Going a step further, on top of a day off for their birthday, Visualsoft offer unlimited and unmonitored holidays and flexi-time to all staff; trusting them to manage their home life alongside their work goals.
The Body Shop provides five volunteering days each year for staff to do with as they please. They can opt to explore something new that is of personal interest, or use the time to help a cause close to their heart.
Virgin is famous for the way it treats people, celebrating achievement by identifying star contributors and throwing parties to bring staff and their families together. This not only contextualises what they do and have achieved, but generates higher levels of employee engagement.
So does it work? Well you only have to look at the success and reputation of the businesses who believe supporting and trusting people both in and outside of work has remarkably positive results.
That ‘clinking clanking sound’ certainly isn’t the only thing that ‘makes the world go round’ for their employees. So when it’s time for your next staff appraisals or salary reviews, why not try to come up with something a little different?
Like some of these examples, it doesn’t have to cost a lot, but by offering the chance for a better work-life balance, you’ll not only make people happier, but you’ll increase loyalty, improve your company brand and build a reputation as a great place to come and work; and who doesn’t want that!