Are You Paying Your Employees Enough?

Are You Paying Your Employees Enough?

That feeling when you are compensated right for your service, efforts, skills, and expertise is a matter of fact satisfying. Well paid employees are even more work-driven, feels secure, important and valued. Therefore, every business owner should, at all times, remember that the backbone of their company and the most valuable asset is their employees.

Compensating employees suitably has its edge and advantages

  • Losing good employees to other companies with higher offers is lessened
  • The loyalty of your workforce is on you and your business because they know that you are a fair employer and when the time comes that others would try to woo them, they don’t easily give in.
  • Employees will be more productive
  • Operational efficiency of your company will be better because employees are happy
  • Growing and successful business

There are several factors on how an employer can compensate their employees enough and not monetarily.

Do a research

Review the industry that you participate in. Compare compensation package, salary increase and other benefits that are given by others. Balance your offer and you should always be on par with the competition. Recruiters are still on the hunt for talents, and you don’t want your company to be the picking field. Employees are also sometimes tempted to look for better offers, and if they see that you pay according to industry standards, they will stay.

Ask industry experts

It is a common practice to seek the help of recruiters, HR managers and other people that may know the prevailing rates in the business you are in. They’ll give you an idea regarding the amount you can offer and what other forms of benefits you can add to your current portfolio.

Take surveys

The better and unbiased way to know the sentiments of your employees is by conducting a survey. You may do it every so often. Results of the study will show what the employees think and feel about every matter such as salaries, benefits and whatnots. Keep an open mind when you do this since survey data and results will not always side with you. There will be demands and suggestions from employees that you cannot meet and you, as an employer, do not agree with. However, with proper negotiation and sensible decision making, stakeholders and the workforce can meet halfway.

It’s not all about money

Nonmonetary benefits can often lure employees to stay. If an employer offers a proper work-life balance package, then people tend to stay. Your people appreciate flexible schedules, family-oriented programs, health benefits, incentives and even extra paid leaves.

Some companies offer profit sharing, which is much appreciated by employees because they feel that the company earnings are being shared with them.

Always make sure that your salary and benefits package is always competitive because these are factors that may affect if your employee will stay or not. Remember that is more efficient to maintain an employee than train a new one because a minimal disruption in your operation will cost you exponentially.

The smooth process of your business is also dependent on how your employee feels about their job. Keep them happy, and you will have a prosperous relationship.

Watch this video from Capital Associated Industries for more info: