Attracting and retaining top talent is increasingly critical, and organizations need to continue – or start – finding creative ways to do so. That’s the conclusion of the Xerox HR Services’ 2017 Compensation Planning Survey, reported in Nick Otto’s recent Employee Benefit Adviser article.
More than half (53%) of respondents reported that the highest priority in the coming year is to retain top talent. The study shows employers are using a variety of methods to retain their talent from offering lump sum payments (51%) to offering career development opportunities as a retention tool for top performers (60%).
Although median-base pay projections next year are projected to remain flat at 3%, employers might be dishing out additional cash in the form of retention programs aimed at holding onto the company’s top performers. Nearly all survey participants who plan to offer lump sum payments in 2017 will do so to reward employees who have reached or are above their pay range maximums. In addition, 37% of employers intend to determine market pay adjustments for high potential employees.
Otto’s article also included a Korn Ferry Hay Group chart illustrating why employers use alternative perks – career development and other non-traditional benefits. The reasons include (in priority order) – to be an employer of choice; to stay competitive and to engage employees.