Comp and Benefits as a Talent Attraction Strategy

Comp and Benefits as a Talent Attraction Strategy

Robin Schooling, SPHR, SHRM-SCP North Alabama SHRM September 2015

Employee Benefit!!!!

unemployment insurance FMLA

worker’s comp

why?

total rewards

h/t to Caeser’s Entertainment

Compensation: Pay provided by an employer to its employees for services rendered (i.e., time, effort, skill). This includes both fixed and variable pay tied to performance levels

Benefits: Programs an employer uses to supplement the cash compensation employees receive. These health, income protection, savings and retirement programs provide security for employees and their families.

Work-Life Effectiveness: A specific set of organizational practices, policies and programs, plus a philosophy that actively supports efforts to help employees achieve success at both work and home.

Recognition: Either formal or informal programs that acknowledge or give special attention to employee actions, efforts, behavior or performance and support business strategy by reinforcing behaviors (e.g., extraordinary accomplishments) that contribute to organizational success.

Performance management: The alignment of organizational, team and individual efforts toward the achievement of business goals and organizational success. Performance management includes establishing expectations, skill demonstration, assessment, feedback and continuous improvement.

Talent development: Provides the opportunity and tools for employees to advance their skills and competencies in both their short- and long-term careers.

Foundation stuff

compensation: job evals, pay philosophy, pay structure

benefits: medical, dental, 401(k)

year after year...

• plan year begins

utilization review

• action items

bid/renewal •  roll out

and open enrollment

plan year begins

why?

Design & Redesign of

Total Rewards

2014 Global Top Five Total Rewards Priorities Survey

2014 Global Top Five Total Rewards Priorities Survey

2014 Global Top Five Total Rewards Priorities Survey

Summary of findings ¡ majority of organizations have offered the same

amount (58%) of ER sponsored benefits or have increased (35%) the number of benefits offered

¡  few are eliminating health care benefits

¡ many are changing composition of health care plans (i.e. preventative)

¡ many shifting greater burden of costs onto employees

increasing

¡ HSAs and contributions to HSAs

¡ mental health care coverage

¡ contraception coverage

¡ vision insurance and laser surgery

decreasing

¡ Flexible Spending Accounts

Health Care

increasing

¡ health and lifestyle coaching

¡ smoking cessation programs

¡ premium discount for risk assessment

decreasing

¡ on-site stress reduction

¡ nap rooms

Wellness

increasing

¡ Roth 401(k)s

¡ one-on-one investment advice

decreasing

¡ defined contribution plan loans

Retirement Savings

increasing

¡ spot bonuses

¡ nonexec signing bonuses

¡ donations for charity events

decreasing

¡ auto subsidy

¡ credit unions

¡ payroll advances

Financial

increasing

¡ pay cards

¡ shopping discounts

¡ pet insurance

decreasing

¡ postal services

¡ subsidized on-site cafeterias

¡ executive club memberships

Services

“Benefits plans should be viewed by HR professionals as a vital tool in their retention and recruitment strategies.”

Global Workforce Insights for Compensation: Q2 2015

1. vacation time and PTO policies

2. healthcare benefits

3. retirement savings

1969

BENEFITS QUARTERLY, 2014 Neil Howe, LifeCourse Associates

56% of Gen Y agree: benefits important for selecting their employer

25 points higher than older boomers!

63% of Gen Y: benefits are reason they’ve stayed with employer

BENEFITS QUARTERLY, 2014 Neil Howe, LifeCourse Associates

•  financial planning •  tax preparation assistance •  hands-on relocation assistance •  education programs on individual

finance/retirement planning •  ...and voluntary benefits

what benefits matter?

Gen Y ...NOT boomers!

Alignment with Strategy & Brand

competition or collaboration?

do your Total Rewards repel?

do your Total Rewards attract?

what employee benefits have you added/removed as a direct response to needs/want of employees or in order to improve talent attraction?

how much importance are candidates placing on benefits?

which of your benefit offerings are specifically designed to align with your employer brand or your organizational strategy?

Challenges & Opportunities

a story from the HR trenches

“I can’t afford the gas to get to work.”

alignment: brand & strategy

benefits

¡  retirement plan redesign

¡  sick leave; eligibility & carry-over

¡  vacation – pay out

talent development

work-life effectiveness

¡  on-site gym

¡  additional vacation

¡  floating holidays

compensation recognition & rewards

Communication

Branding your benefits - #sexyHR

#unsexyHR

Global Workforce Insights for Compensation: Q2 2015

1. vacation time and PTO policies

2. healthcare benefits

3. retirement savings

candidate attraction

employee retention

¡ a voluntary benefits scheme needs to be well communicated and promoted to ensure employees engage with it

¡ using benefits champions and savings examples can help engage staff

¡ communication must be ongoing and kept relevant to maintain employee engagement

employeebenefits.co.uk “How to build engagement with voluntary benefits,”July 2015

my POV what can we learn...?

total rewards should be meaningful to employees,

differentiate the company, and align with brand and strategy

thank you!

@RobinSchooling

robinschooling.com

robin.schooling@gmail.com

additional resources

¡  Employee Benefit News benefitnews.com

¡  Employee Benefit Research Institute ebri.org

¡  International Foundation of Employee Benefit Plans ifebp.org

¡  International Society of Certified Employee Benefit Specialists iscebs.org

¡ World at Work worldatwork.org

¡  Employee Benefits employeebenefits.co.uk