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Compensation key to retaining top talent

Published 22nd May 2015

Recruiters are often in a difficult situation.

On one hand, they have to work hard for their customer base to ensure that the right candidates are cherry-picked and presented to the client. However, on the other hand, dealing with their own employees and ensuring they are happy with management and knowing everyone is moving in the right direction is just as important.

Is there a problem with HR?

Based on the findings of a recent survey, recruiters might need to consider their workforce more carefully and make changes to improve retention outcomes.

Recruitment experts Robert Half Management surveyed more than 2,200 chief financial officers (CFOs) as well as 300 employees across various sectors and industries. CFOs were asked what circumstances would lead to good employees leaving, while employees were asked the same from a personal perspective.

According to the results, both parties agreed that an inadequate salary and benefits would prompt a resignation. A total of 38 per cent of employees and 28 per cent of CFOs noted this reason.

Other top responses included limited opportunities for advancement (22 per cent vs 20 per cent), unhappiness with management (14 per cent vs 16 per cent) and being overworked (12 per cent vs 9 per cent).

CFOs were also asked if they’d lost any good employees due to an issue with remuneration. Surprisingly, a quarter (25 per cent) said yes.

Paul McDonald, senior executive director for Robert Half explained that ensuring pay and salaries are paid on time and correctly should be top of the agenda in all sectors.

“Highly skilled professionals have options in the current hiring environment,” he said in an April 8 media statement.

“To attract and retain employees, businesses must proactively benchmark salaries and ensure they are offering competitive pay. If a manager can’t recall the last time wages were evaluated, it’s probably been too long.”

What are the solutions?

For recruiters, the key is establishing a solid back-end process that can manage all aspects of your contractor payroll.

At Oncore Services our goal is for recruitment businesses to flourish and, with our solutions, this is more than possible. Our model works seamlessly behind your existing system which means that as your client base grows, your own back-end process operates efficiently and the entire business can develop as one.

By retaining your best employees through good HR, the recruitment business can move in the right direction as smoothly as possible.

Compensation key to retaining top talent