This new Deloitte article provides an overview of why and how organizations must continuously adapt total rewards strategies to evolving workforce requirements, primarily focusing on greater personalization. In line with this theme, I’m sharing three resources that provide ideas.
- Organize Your Rewards Package Around Employees’ Critical Life Moments, where Gartner provides ideas for organizing and communicating reward programs by critical life moments (e.g., getting married/engaged, having/adopting a child, taking a big trip, etc.).
- Breaking from Tradition with Skill-based Rewards, by Deloitte, introduces a compensation structure where a portion of an employee’s compensation is based on the extent to which they possess and demonstrate skills valued by the organization.
- Gartner’s “Leveraging Employee Preferences to Identify Total Rewards Trade-offs” advises using data sources such as exit interviews and candidate surveys to gather quantitative and qualitative insights into employee preferences. The article presents a four-component decision-making model to evaluate shifts in the employee value proposition (EVP), including categories like “Sunset,” where resources are eliminated or divested to prioritize higher-level priorities within the EVP, to “Invest,” where organizations expand their budget or offerings to enhance the EVP. It also recommends establishing triggers for EVP reevaluation in response to changes in business or economic conditions, such as financial performance shifts, market disruptions, talent turnover, or new legislation.
While there are many other factors that influence total rewards, these examples can spark ideas.