Your company offers a unique set of benefits to each employee in return for their skills, capability, and experience. Your Employee Value Proposition (EVP) may not be formalized, but it exists. According to a recent study, over 41% of companies don’t have an established EVP, even though they know it is important. In a labor market with low unemployment and positions going unfilled, businesses need to tap into their prospective employees’ requirements.
“An employee value proposition (EVP) is part of an employer’s branding strategy that represents everything of value that the employer has to offer its employees. Items such as pay, benefits and career development are common, but employers also highlight offerings that are currently in demand—like technology, remote work and flexible scheduling.”
The most obvious elements of an EVP include pay, benefits, and professional development. Flexibility, purpose, and sustainability are now practically givens and no longer major differentiators.
People First
The employee experience needs to be compelling for those new to the workforce and those who have been around for decades. Policies must be flexible enough to meet each employee’s unique circumstances.
Prospective candidates are asking what makes them happy, what satisfies them, and where have they given away too much for too little return. While 82% of employees want their organization to see them as a person, not just a worker, only 45% believe that their organization sees them this way.
With hybrid workforces becoming more prevalent, an employee’s connection to their manager may be stronger than to the organization. Managers need continuous training and support as their job changes to meet the changing demands of the workforce.
Align Purpose and Culture
Organizations that are doing well at attracting and retaining talent are aligning the purpose of the organization and its employees with their company culture. They need to find ways to make the purpose come through in their culture. According to Kevin Martin, chief research officer at the Institute for Corporate Productivity, this is how you support what you are promising people, which is your EVP.
People are seeking purpose in their lives, including in their work. They expect a strong sense of community and purpose-driven work.
Personalized Rewards
HR leaders are often out of touch with the benefits and rewards that their workforce wants. Martin mentioned that HR leaders assumed that workers who are 50 or older would prioritize health care, but a survey showed that they preferred compensation and continuous learning as their priorities.
A company that offers a wide range of benefits from which employees can pick and choose may realize improvements in recruiting and retention.
