7 Steps to Becoming an Employer of Choice

1. Offer competitive compensation and benefits 

It is probably obvious that in order to attract top talent, you need to offer competitive compensation and benefits packages that are in line with industry standards. By performing regular market benchmarking to get insight into current and future salary trends, HR can help the organization remain productive and profitable when designing packages to attract top talent. These packages should consider not just salary but take a wholistic look at compensation considering health and wellness benefits as well as performance based bonuses and incentives.

• But exactly what is competitive in your particular market or geography? Benchmarking compensation and benefit packages can be challenging due to: 
• HR data availability which may not be specific to your industry or geographic region 
• Differences in job roles when job titles and descriptions can vary across companies 
• Changes in market conditions such as economic conditions or changes in labor laws 
• Subjectivity as companies value different factors such as job complexity, experience and performance 
• Limited scope of details like work-life balance, job security and opportunities for career advancement

Most small and medium-size companies lack the resources, tools and HR data to properly conduct a compensation and benefits benchmark. Fortunately for these organizations, there are professional HR experts offering these services. If your organization does not have the ability in-house to benchmark compensation and benefits, engaging outside experts may be a wise investment.

2. Focus on employee development 

Retaining top talent is crucial for an organization’s success and programs that support staff development are cornerstones of retention. Most employees want to improve their skills for a variety of reasons, including career advancement, increased job satisfaction, job security, personal growth, higher earning potential and improved confidence. Having a reputation for employee development is valuable in attracting and retaining top talent because high-performing employees are often motivated by learning and growth opportunities.

By investing in employees’ skill development, employers can help meet these needs and create a more engaged, satisfied and productive workforce. This typically leads to enhanced retention, increased innovation and better adaptability to change, all leading to greater organizational success. And companies that invest in comprehensive employee training have 218% higher income per employee¹ than those that don’t.

3. Foster a positive work culture that emphasizes diversity and inclusion 

Employees are looking for a company culture that supports their efforts and achievements Psychological safety and open communication can promote environments where employees feel safe to share ideas, concerns and feedback. When we talk about diversity, we are inviting different perspectives, experiences, communication styles and thought processes to the conversation. 

86% of millennials and Gen Xers say a company’s commitment to workplace diversity impacts their decision to work there.²

By designing reward and recognition programs to reinforce your core values and strategic goals, employees can see the impact of their efforts is celebrated. 

4. Listen to employee feedback 

Listening and acting on employee feedback improves the workplace environment. Employees know the day-to-day operations of a company. 

By listening to their feedback, employers may be able to gain insights into how to improve processes and operations, which can lead to increased productivity, performance, retention and innovation. 

You can do this by conducting regular employee surveys, implementing feedback mechanisms and addressing employee concerns in a timely and effective manner. When employers listen to their feedback and act upon it, it demonstrates that they care about their employees’ opinions and are invested in creating a positive work environment. 

With 65% of employees reporting that they do not see action based on survey results, many organizations fail to take advantage of employee feedback. 

You can get employee feedback during performance reviews, team meetings or suggestion boxes. For more comprehensive feedback, regular, anonymous surveys can help you get honest feedback.

5. Strengthen leadership and management

Strong leaders don’t just manage, they inspire, guide and build cultures that people want to be a part of. The impact of this is significant, leaders who support their teams have 3.4 times more engaged workers!³ It takes deliberate, diligent work to develop leaders who can elevate their teams. Organizations need to view leadership development not as a one-time event but as a continuous journey. 

Help your managers build strong, effective leadership skills. It’s not enough for them to understand processes and procedures but teaching them to lead with empathy, understand team dynamics and handle constructive conflict resolutions will give them the skills to excel.

Encourage transparent and empathetic communication. When leaders are able to comfortably share information openly and consistently, employees are able to reciprocate and express concerns, ideas and important feedback.

Finally, set clear goals and expectations for leaders. Provide guidance to understand what it is like to be a successful leader and how they can be supported on their journey. 

6. Bring your A-game to HR

SMBs typically have limited HR resources, including budget, tools and processes which can make it challenging to fulfill their responsibilities. Insufficient HR processes and tools create disorganization and inefficiency, contributing to a sub-optimal employee experience. This can hinder your ability to attract and retain employees when competing for talent against larger organizations.

Candidates start formulating their impressions of an organization at their very first engagement, from reading an initial job posting, through the interviewing process, the interaction with HR staff, benefits discussion and then throughout their employment. By creating a positive candidate experience, developing effective recruitment strategies and delivering top-notch HR administration, a company can help ensure they have the talent it needs to succeed.

Working with a professional employer organization (PEO), SMBs can get the HR administrative benefits like large or more established organizations. With a PEO like TriNet, SMBs can professionalize their HR by accessing HR experts, and getting help with HR processes and leveraging technologies. This can enhance the entire employee experience from “hire to retire,” while making HR practices compliant, efficient and effective.