There are a seemingly countless number of factors to consider when looking for a job. But, there are a couple of questions every person must ask themselves when considering a job opportunity. Per TalentLyft, candidates need to ask, “Why should I work for your company instead of somewhere else? What’s in it for me?”
The answers to these questions make up your organization’s employee value proposition. In this article, we’ll define an employee value proposition, which employee benefits impact it the most, and how an improved employee value proposition improves your business.
What is an Employee Value Proposition?
An employee value proposition (EVP) is a set of values an employer offers to your employees and job candidates. In addition to acting as a recruiting tool, an EVP can be used to engage and retain your staff. Your firm’s employee value proposition is meant to define your company and how it’s different from your competition.
Which Benefits Matter the Most?
According to Mercer’s Global Talent Trends Report, 9 in 10 C-Suite executives said they expect talent competition to increase in the upcoming years. With this rise in the talent competition, it will only become more imperative for organizations to utilize their employee benefits to attract and retain top-quality candidates in your field.
But which benefits specifically are the most important when building your employee value proposition? The two employee benefits that impact your EVP the most, according to a recent study by Mercer are career development and meaningful work.
Earlier this year a WorldatWork study found the most significant increase in total rewards during the next 3 to 5 years will be in career development. Employees no longer want to use their own time and money for career development. They expect their employer to help them achieve their personal, developmental goals.
Last year, the Employee Experience Index uncovered what practices are vital for an employer to create an enticing workplace experience. Feedback, recognition, and growth (all part of development) were rated the number three most crucial part of the employee experience.
Employees want growth and development opportunities in real-time. They desire these opportunities as performance occurs rather than through a formal or infrequent process. To accomplish greater employee growth, your firm needs to focus on forming a culture of continuous development.
Meaningful work, per the Employee Experience Index, is the single greatest contributor to a positive employee experience at work. Twenty-seven percent of respondents chose meaningful work as the most crucial practice for an attractive workplace experience.
Most humans have a natural desire to search for meaning in their job or lives. As an employer, you can’t bring purpose to your staff’s personal lives, but you can describe the meaning behind their work. And detailing the “why” behind your work improves your employees’ performance.
When employer and employee values are aligned, your business benefits. According to Globoforce, employees who clearly understand company values exhibit 17 times more engagement. Like career development, your company must imbibe meaning in every part of your organizational culture.
Why do These Benefits Matter?
Clearly, your staff desires both development opportunities and meaningful work. But, what do these benefits do to improve your organization as a whole? Meaningful work helps engage employees, which translates to increased productivity.
According to the Harvard Business Review, workers who create meaning in their work tend to work harder, more creatively, and with more tenacity. Those who find meaningful work are:
– Three times more likely to stay with their organization
– Four times more engaged at work
– Seven times more likely to experience higher job satisfaction
Each these numbers demonstrate the impact of meaningful work on an employer’s bottom line. When employees experience meaning at work, their employers enjoy higher rates of client commitment and investor interest.
Career development offers similar potential boosts to your business as meaningful work. Investing in the development of your staff improves loyalty and engagement. When an employer invests in the development of their employees, it helps align employee and employer goals.
This alignment helps to grow relationships within your organization and foster employee loyalty and job satisfaction. Multiple studies that demonstrate the tangible, positive impact development benefits such as mentorship can have on your business.
A 2013 survey by MicroMentor, found mentored businesses increased their revenue by 83 percent while non-mentored companies increased their revenue by only 16 percent. Similarly, information from MentorCloud reports mentoring can increase managerial productivity by 88 percent when managers are involved in a corporate mentorship program. This number is a significantly higher percentage than the 24 percent increase for managers given training but no mentorship.
When looking to improve your company’s recruitment and retention, you must first look to develop your employee value proposition. Ensure this development through building career development and meaningful work for your employees.