Pay: not the only reward

It takes more than pay alone to keep employees satisfied. Randstad’s Fulfilment at Work report showed that once pay reaches a certain level, employees become more concerned with task rewards and work-life balance, and staff on high incomes are prepared to give up salary to obtain higher levels of non-financial job satisfaction. The more advanced an employee’s career, and the more they are paid, the less effective financial reward is at increasing feelings of fulfilment.

Total reward packages can include a vast array of other benefits, including pension scheme, free or subsidised parking, car allowance, company car, health insurance, season ticket loan, and employee assistance/loans programmes. Many employers also provide annual and maternity/paternity leave above the statutory minimum, while work-life balance benefits such as flexible working, enhanced leave and childcare vouchers feature strongly.

However – along with career development and training – such non-pay factors are far from universally appreciated as part of a total reward package. With under one-fifth of employers providing total reward statements, poor communication of these benefits is one obvious reason, although the a CIPD study also cites a ‘culture of secrecy’ evidenced by more than 25% of their respondents indicating they prefer employee benefits to be a matter between individuals and the employer alone.