Three Ways Employers can Attract Top Talent
The US House of Representatives just passed a bill to replace much of Obamacare. According to the Wall Street Journal report, one of the many aspects of the proposed health bill is a removal of the requirement that large employers provide health insurance to employees or receive a fine. Despite this possible change in the US healthcare system, it is unlikely that many large employers will actually drop healthcare as a benefit for employees. Providing health benefits for employees has become a minimum standard for employers. These companies know that if they drop benefits like health coverage, they would not be able to attract high-quality employees. If companies want to attract top talent, they have to be willing to offer their employees more than the minimum set of benefits. With more employees from the Millennial generation entering the workforce, employers have to adapt in order to attract and retain high-performing employees. Here are three ways employers can attract high-quality employees:
1. Provide opportunities for personal and professional development
The professional services firm PricewaterhouseCoopers (PWC) conducted a study that examined what motivates Millennials in the workplace. This study found that 52% of Millennials identified career progression as the most important factor when deciding where to go to work. Likewise, 35% of respondents indicated that excellent training and development programs made an employer more attractive. Millennials do not expect to stay with one company for their entire careers. In fact, the same PWC study found that the vast majority of Millennials thought they would work for two to five companies throughout their careers. If Millennials do not think there are opportunities for career development at their current company, they will lateral to another company. Employers should offer mentoring to new and seasoned employees to keep them engaged and motivated to stick with the company. To encourage continuing education, employers should offer generous tuition reimbursements to employees. There is a business case for developing employees. If employers invest in their employees, employees will stay longer and will be more efficient and productive.
2. Allow for flexibility in work schedules
The traditional work schedule is going by the wayside. If companies want to attract highly skilled workers, they must offer flexibility in work schedules. Employees are more engaged when they take ownership in their work. Additionally, Millennials want challenging and rewarding work and the ability to be accountable without being micromanaged. Allowing employees to control their own schedules is a way employers can show they trust their employees. Unlimited vacation is another emerging trend with top employers. These employers trust that their employees will manage their work and personal lives appropriately. Employees who can control their own schedules are simply more productive than employees who have a strict set of schedule policies. Many top companies are beginning to allow their employees to work remotely some or all of the time. With advances in technology and capabilities, it is becoming easier and easier for companies to have remote workforces. When companies allow employees to work remotely, it allows the employees to cater their job to the needs of their families. Parents with children, for example, benefit greatly from a partially or entirely remote work environment. Millennial employees, in particular, want to build their jobs around their lives, not their lives around their jobs. If companies want to hire the best, they have to respect this new work-life balance.
3. Pay competitive salaries
This point probably goes without saying: people want to be well paid for their efforts. In an ever competitive world, employers simply have to pay their employees more than the competition if they expect to retain their employees. Despite employees wanting more ‘fringe’ benefits, base salary is still a very high priority for employees seeking work. The PWC study, for example, found salary to be the second most important factor for Millennial job seekers. Employees are now able to leverage websites such as glassdoor.com to better understand what companies are willing to pay employees. Glassdoor provides industry estimates for salaries based on job title, industry, experience level, etc. With better information about industry standards for salaries, job seekers now have a stronger bargaining position when negotiating salaries with employers. If employers want to attract top talent, they need to be on the high end of the industry salary ranges, in addition to providing the benefits that Millennials believe to be important.
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