Reward insights: new thinking on Employee Value Propositions
Whether you refer to it as an Employee Value Proposition (EVP) or not, most companies have one in place. In a nutshell, an EVP is the all-encompassing package you offer your employees; their salary, the benefits you provide, your culture. However, putting an EVP in place is often seen as a box ticking exercise, resulting in employers creating a high-level and even impersonal EVP. With increasing pressure to recruit and retain talented employees, companies need to consider more than just salary and the employee benefits they offer.
As we move into an era where personalisation is key, employers need to steer away from the traditional EVP and take a more individual approach. They need to create an Individual Value Proposition (IVP).
So how can you develop your EVP into an IVP? Here are four key areas you need to focus on.
1. Culture and values
Having a strong company culture and clear set of values creates a sense of belonging for employees. Companies who live and breathe their values have been able to create a unique working environment. As a result, they tend to have more highly engaged employees who share the same vision.
If you’re looking to create a strong, unique culture to underpin your IVP, consider a combination of different elements. Have you thought about the breakaway areas or spaces that create free thinking and collaboration in the office? What about benefits such as a breakfast club or cocktail hour? Finally, don’t forget about the simple additions to your working environment like plants and free fruit.
2. Support and development
Employees have a certain level of expectation of their employer – they want support with their wider needs such as mental wellbeing, not just with salary and compensation. By going one step further with your IVP, you could implement a wellness strategy and provide access to tools that support employees’ work life and personal life. Access to a mental health platform with mindfulness training, meditation and sleep podcasts show employees that their employer genuinely cares about their individual wellbeing.
3. Convenience factor
HSBC’s Flexible Working (2017) report found that flexible working is more likely to motivate employees and increase productivity than financial incentives. More and more employees are viewing flexible working hours and working remotely as a benefit, and will take these factors into consideration when looking for a new job. When developing your IVP, why not promote a flexible working environment to give employees the freedom to work around their personal lives?
Further to this, employees appreciate benefits that fit around their lifestyle. By offering a virtual GP service, employees can book appointments on the same day, get instant support, and not have to take time off due to appointments or illness. The result? Convenience for the employee, and personalised wellbeing support.
4. Emotional connection
The emotional connection an employee has with their company is perhaps the strongest element of an IVP and is shaped through a mixture of the above three factors. The emotional connection is truly personalised to the individual; they should feel appreciated and supported in a way relevant to them. Implementing an overarching EVP with a ‘one type fits all’ mentality will not help to build this connection. However, developing a strong IVP with a range of benefits and tools to support your employees in their different life stages will.
While the idea of an EVP is not new, personalising it to an individual level is. If you’re looking to transform your EVP into an IVP, follow the four areas described above and make use of your technology to ensure employees can access information about your IVP anywhere, at any time. You’ll be able to create a unique working environment, support individual wellbeing needs and give your employees the convenience to fit their work around their lives. As a result, you’ll be able to recruit and retain happy, healthy employees who feel supported both inside and out of work.
When it comes to your value proposition (‘VP’), ‘I’ should come before ‘E’.
If you would like to read more about increasing your employees’ engagement with benefits and improving your company culture, download your copy of our UK Employee Benefits Watch 2018 report.
The author is Jack Curzon, head of scheme design at Thomsons Online Benefits.
This article was provided by Thomsons Online Benefits.
Thomsons Online Benefits is sponsoring REBA’s Innovation Day, taking place on 22 November at County Hall, London.
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