IS MONEY STILL THE TOP INCENTIVE WHEN JOB SEEKING?
With candidates having more choices than ever, companies are constantly trying to find ways to stand out from the crowd and not only attract but retain top talent.
There are 3 main components that most employees are looking for in a job:
Good company culture
Flexible working (including remote and hybrid)
Salary/ career progression
Especially since the pandemic, not only has flexibility taken precedence in many people’s lives, but so has a fun and supportive company culture.
But the question still remains… is money still the ultimate motivator for job seekers?
In a recent poll where I asked what would entice people to look for a new role, 61% said “more money”.
This isn’t to say a supportive company culture, with great management that respects your work-life balance isn’t something people desire, but it should never be a substitute for fair pay and career progression.
Keep reading as I explore why salary and clear progression plans continue to be critical incentives for candidates, not only when they’re looking for a new job, but when they’re debating on whether they want to stay at their current one.
MONEY OFFERS FINANCIAL STABILITY
This is a given.
People need money to feel secure and stable. Basic needs must be met. But that’s not all. A higher salary, with the ability to keep progressing, gives people the ability to work towards their personal goals, as well as their professional ones.
Whether that’s becoming a homeowner, starting a family, or simply having the luxury of going on more holidays and keeping out of debt.
This means working within a company that not only pays fairly, but rewards employees for work ethic, hitting targets, or completing projects, is far more desirable because they feel stable enough to plan their future there.
MONEY IS MOTIVATING
If you expect your employees to stay motivated without reward, you’re going to be surprised when productivity rates drop and people start to leave.
You may think that the employee that gets on with their colleagues, is always being supported, and has complete flexibility is happy… and they probably are.
But they probably run the risk of being comfortable or run the risk of leaving for something more.
Comfort isn’t motivating. If an employee doesn’t feel like there’s anything to strive towards, they won’t strive as hard. But if they do want to strive for more and they want the satisfaction of working to targets and being rewarded financially for it, they will do anything to get it, even if that means leaving somewhere they’re “happy” at.
PEOPLE WANT MONEY IN REWARD FOR PROGRESSION AND GROWTH
Similar to what I just said, people want money, but they want to feel like their money is a reward for working towards something. They want a clear progression plan, lots of opportunities, and targets they have the satisfaction of hitting.
Any ambitious individual wants to be constantly growing and enhancing their skills to stay relevant in their industry.
So in order to keep employees engaged and loyal to a company, putting in place a good performance management strategy will make a huge impact. This includes:
Goals and expectations
Progress monitoring
Continuous feedback
Reward and recognition
Clear progression plans
Keeping your employees stagnant will force them to want to go elsewhere to accelerate.
MONEY MAKES PEOPLE FEEL VALUED
You could put in all the effort to make employees feel valued by verbal recognition, great company culture, and flexible working to ensure work-life balance, but the harsh reality is, without fair compensation and hopes of progression, people will naturally feel undervalued.
No one wants to feel hostile towards an employer because they don’t feel like their financial needs are met. When employees feel that their financial needs are met and they have growth opportunities, they develop a sense of loyalty towards their employer.
As an employer, you want to build loyalty and be an employer of choice because people know you care about their professional growth and they’ll want to stay at the company, work hard, and be a great contribution to the rest of the team as a result.
- Written by Shannon Matthews
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