Whilst it is important for businesses to cut costs and up returns, staff salaries should not be among the factors which are kept on a tight budget.
We see people as the most important aspect of any business. Where would your company be without them? As with training, benefits and salaries, your staff are your greatest investment and what you put in directly affects what you get back.
These are the three big reasons we think great salaries are worth it.
Proving you know their value
Expecting staff to work hard for a lower salary than they would get elsewhere says one thing: you donít appreciate their worth. Nowadays employee satisfaction is a major player in why people apply for jobs and if people arenít happy, they arenít afraid to job hop. Nothing builds a strong morale and work ethic like feeling truly appreciated by your employer. Ensure that the salaries you are offering are sending out the right message. You need to demonstrate that you are committed to your staff, that you appreciate them and that they are valued for what they do.
Retention and attraction
To reiterate, people job hop when they arenít happy. You want to structure your salaries so that you keep the great staff that youíve already got and are attracting the top quality candidates that you need. It is very unlikely that you will get experienced and highly skilled individuals applying to work at your organisation when they are in high demand for good money elsewhere. If you offer excellent salaries youíll have the advantage of excellent candidates, and the same visa versa.
Investing in your assets
Like any investment, it could take time to see a return, but providing benefits so that your best employees stick with your business will pay off in the long run. Every company needs people who have been there for the long haul, those who know the business inside out, have been part of the growth and changes, and who are loyal to the companies future. Keeping up with salary trends and staying competitive will ensure you always keep a selection of long-standing employees under your roof. A big win for employer brand and a big win for your investment.
Read more on improving your employee benefits: