Elwood Staffing | Creating a 3-Part Pay Strategy

Page 1

Elwood Believes in a 3-Part Pay Strategy 1.

PAY AT OR ABOVE MARKET LEVEL.

101,985

2.

We surveyed 101,985 job seekers, and pay was most frequently cited as the most important factor in a job search!

PAY AFFECTS THE SIZE OF YOUR TALENT POOL!

Famed researcher Daniel Kahneman’s studies show that money affects worker happiness when total family income is less than $75,000.

3.

INCREASE WAGES OVER TIME.

Implement a progressive pay program, or at least GIVE ONE APTLY-TIMED RAISE! Bonuses give workers a short-term morale boost, which may help push them through periods of discontent and reduce turnover.

CO S T S R I S E .

NO ONE WANTS TO WORK FOR LESS BUYING POWER. MOST EMPLOYERS DO!

Effective Buying Power of $10.50 Hourly Wage Over Time (Compared to Today’s Wage) $1.50 $1.00

65%

$0.50

OUR RECENT SURVEY DATA SHOW nearly 65% of employers offer at least one bonus opportunity.

$$(0.50)

Pay between the

$(1.00) $(1.50)

50TH &

75TH percentile for your market.

If you do this ...

OUR RECENT SURVEY DATA SHOW

12

that over the past months, the median pay rate has risen in

60% of the positions

$(2.00) $(2.50)

Months 6

12

18

24

30

36

42

48

62%

You’ll pay better than 2 or 3 out of every 4 potential employers.

54

60

Premier Employer: Offers 6% annual wage increase to outpace cost of living adjustments. Wage raises (2.956%) offered every 6 months. Average Employer: Offers 4% annual wage increase to match traditional cost of living adjustments. Wage raises (1.98%) offered every 6 months. Below Average Employer: Does not offer wage increases.

we survey on, and on average across

positions, of companies reported a starting wage increase. YOU MUST BENCHMARK AND ADJUST YOUR PAY RATES EVERY YEAR.

GIVE BONUSES.

4X

Our turnover data show that employees who receive at least 1 raise work nearly 4x longer before quitting than those who don’t receive a raise. (520 vs. 147 hours)

OUR RECENT SURVEY DATA SHOW nearly 90% of companies offer at least one raise in the first year.

MOST COMPANIES GIVE

1

THE THREE MOST COMMON BONUSES ARE:

Holiday

RAISE

THE MOST COMMON TIME TO OFFER A RAISE IS BETWEEN

30-60

DAYS

Attendance Performance

LEARN MORE ABOUT ELWOOD STAFFING AND CREATING A COMPETITIVE WORKFORCE STRATEGY AT ELWOODTHINKS.COM


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