Only money doesn’t excite the Indian workforce!

Reward is no longer about HR administration, but an integral part of HR strategy,according to the Compensation & Benefits Report 2015 released by Top Employers Institute.The purpose of this report is to reflect on current trends in compensation and benefits and how organisations deal with these trends in their business processes.The insights in this report are supported by the findings of the Top Employers HR Best Practices Survey.

93% of participants attach different compensation and benefits packages to specific job roles; Not all companies are purely using individual performance to determine increases though.Some favour a more generic guide,such as inflation (77% of participants), whilst group performance is the measure for 40% of participants; Employees can customise their rewards,choosing the specific elements and benefits they want, through the `cafeteria plan’. However,only 37% of participants offer this approach consistently,and 50% do not offer it at all; Popular non-tangible incentives amongst the participants are:performance awards (85%), showcasing individual successes (77%), innovation awards (66%) and values awards (58%) however,the most popular remains recognition for length of service,something that is 90% action; Total rewards statements increase awareness among employees about the real value of the total package.However,it is currently in place at just over half of participating companies,with 25% not doing it at all; 3D global business

Elements top employers use in their total rewards statements: Salaries:72% , Variable compensation: 70%, Secondary benefits:50% Pension: 48% Long-term incentives:45% Profit sharing:33% Year-on-year evolution of total rewards:31% Training investment:20% The most popular measurements amongst the participants are external benchmarking (89%), employee surveys (82%) and results from exit interviews (75%). One interesting development is the use of the acceptance rate of job offers as a way of evaluating effectiveness, which 53% do.This is a good way to assess the impact of reward strategies on talent attraction. Only 3% of participants do not measure the effectiveness of their compensation and benefits strategies at all.

Source: Ascent 28 Oct’2015