Over breakfast the other day with a CEO friend of mine we were discussing the ongoing challenge of recruiting and retaining good employees. As we were chatting, I showed him a few examples of total compensation statements that RewardsFocus had recently delivered; he commented on how necessary these communications are since so many employees just don’t get it – they all too often lack a solid understanding of the full value of their benefits and compensation.
This impression is backed up by several recent studies. For example, one study found that nearly 80% of employees underestimate the value of their total compensation.
RewardsFocus recently conducted a survey of over 250 employees to look at the connection between employee understanding of total compensation and job satisfaction and engagement. The results were quite interesting:
Providing employees with total compensation statements is one of the most effective ways to make sure that employees have a clear and complete understanding of their total rewards. Deeper understanding – and appreciation – of total rewards directly contributes to greater employee productivity, engagement and retention.
If you aren’t currently sending total compensation statements to employees – or if you are sending statements but are looking to improve them – we would love to help. Give us a call at (301) 850-6690 or email us at firstname.lastname@example.org.