Here are two things you should know about today’s candidate-first talent market
If there is one word that cuts through the complexity of employee compensation, it’s fairness. Fair pay for the actual work, and fair pay in relation to colleagues and market expectations. There are many reasons to make fairness the cornerstone of your compensation philosophy and practices, not the least of which are an increased ability to recruit and retain top talent. A reputation for fairness contributes to a stronger employer brand and helps increase employee productivity and loyalty. Being cheap, or even perceived as cheap, does the opposite.
Not long ago, the CFO of a fast-growing $150 million company with 80 sales reps was planning to move to a bigger, better location. I suggested that he not move everyone into the new space and, instead, arrange for some of the reps to work remotely. I was shocked by his answer: “No, because I don’t trust them.” (I didn’t ask how the reps felt about him, but trust usually goes two ways.) There are still far too many business leaders who believe that if they can’t physically see their employees, the employees aren’t working.
Effective leaders in today’s world are learning to live and thrive with constant change and uncertainty. Without a new mold for what a leader should be and do, we have opened the door to expressing our own humanity as well as creating more humane workplaces. Rather than a recipe for chaos, leaders in companies of every size and industry are seeing greater engagement and satisfaction, increased teamwork, and more innovation and productivity.
Now that there are more job openings than people to fill them, 2019 is the time to get really serious about being the best company you can possibly be. This year we see the rise of the individual, where top talent takes over the catbird seat—able to pick where they want to work rather than wait for you to pick them. This leaves you no choice: You have to put significant resources into winning great people in order to grow.