Posted in:Total Rewards
Last week we discussed different options for designing Group Benefits Plans. While they only represent a key part of any compensation package, Group Benefits are indeed just one component of a successful compensation strategy. This week, let us step back and look at the bigger picture – your Total Rewards package.
During the hiring process, employers and employees alike will often focus heavily on base salary, to the detriment of other aspects of the rewards package. This is a mistake for both parties. It is important, both for you as the employer and for your employees or prospective employees to consider all aspects of remuneration.
There are four key areas that comprise a Total Rewards package:
• Base Pay – The most straightforward component; the base salary or wages paid to your employees on an agreed-upon pay schedule. We can help you research the salary ranges in your industry, settling on a range that best fits your company and the specific roles within it.
• Bonus Program/Short-Term Incentives – Perhaps your company will offer Merit Bonuses to star employees based on their work performance. Or, perhaps an Annual Bonus program that can help you stay competitive without having to increase your fixed labour costs. Let us help you create a sustainable bonus structure that will differentiate you from your competitors.
• Benefits Package – As discussed last week, there is a vast range of benefit options available to employers. Your Honiva HR Services Consultant can help you determine which benefits or benefits providers are of the most value to your employees.
• Long-Term Incentives – Certain industries may also be interested in creating a Long-Term Incentive program that includes stocks, bonds and options.
The sum of these components is your Total Benefits package, with each component playing a role in ensuring you can attract and retain the types of employees your business needs to thrive. If it is designed well, you can encourage specific behaviour and performance levels from your workforce. Whether you’re just beginning to put these elements into place, or you’ve been operating for a while and would like to review your existing Total Rewards Package, your Honiva HR Services Consultant will help you work through the many options available to you.
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We can be reached for a free confidential consultation at +1-403-470-5350 or [email protected] For further details on additional HR service offerings, please visit our website at https://www.honiva.com or follow along for more informative tips by joining us on LinkedIn, Facebook, Twitter, or Instagram. We also run a complementary LinkedIn and Facebook group called “Insights by HonivaHR” where you can access free information on how to become an effective and legally compliant employer. Or you can sign-up for our quarterly newsletter to have help sent straight to your inbox from our company homepage.