I’ll never forget the first time I got a Total Rewards statement. I remember looking at it and thinking, “The benefits I get from these people are worth HOW MUCH?!” At the time, I was just beginning my HR career, still working to understand the difference between an FSA and an HSA, so seeing all of these benefits at once blew my mind. Looking back on that moment with years of HR experience, I know that this was not a good thing. Let me tell you why.
Leaders spend a lot of time worrying about making their salary structure competitive, and with good reason. Compensation is key to employee retention. If the guys in the opposite building are offering a 20% pay bump, then your employees are going to feel sorely tempted to cross the street.
Did you know that most people consider themselves underpaid? One study shows that 64% of employees feel underpaid despite receiving the market average. A raise might not help the situation — 35% of people think they’re getting shortchanged even when they earn above average.
Compliance is often the greatest challenge when administering your company's leave policy. Employees are entitled to time off in certain circumstances, such as family emergencies, jury duty, military service, or dealing with a medical issue. But the leave laws that grant these rights are a complex mish-mash of local, state, and federal legislation.
It seems like everyone I speak to these days is seeing a spike in requests for PTO leave, parental leave, FMLA, and the like. After a year of lockdown, it makes sense that people are now jumping at the urge to take some time off. And, if the requests haven’t started coming in yet, everyone on your team will need time off in the future, whether it’s planned vacation time or an unplanned absence due to personal circumstances. Yet, despite the ubiquity of this task, leave administration can be one of the most complex processes to manage in HR when you have a large employee population.
In today’s candidate-driven market, there is a stigma around securing elite candidates, and that it takes paying them top dollar to come to work for your company. And if you cannot, then your pool of prospective employees starts to dwindle.