Total Rewards Packages

Besides actual pay, total rewards compensation can and should be part of a total compensation package. Total rewards can include benefits, bonus, perks and other forms of compensation that are included in an employees’ rewards package.

Goal

Total rewards strategies combine compensation and benefits to improve personal growth opportunities.

What are Total Rewards Packages?

Total rewards is a concept that describes all the tools available to an employer that may be used to attract, motivate and retain employees. To an employee or candidate seeking new employment, the notion of total rewards includes perceived value as a result of the employment relationship.

How do Total Rewards Packages improve employee engagement?

An organizational culture that “takes care of people” not just through pay but also through total rewards can have a positive effect on productivity, engagement and employee satisfaction. Total rewards packages also reduce stress and anxiety as there are outlets for employees to discuss issues and pay for health or mental health needs. Less stress and anxiety will lead to improved engagement.

What are the benefits?

  1. A persuasive recruitment and retention tool

  2. Improved performance and productivity

  3. Engage with employees’ families

  4. They are less expensive than piecemeal benefits

  5. Easily updated

How do you implement Total Rewards Packages in the workplace?

No total rewards package will work well if you don’t understand your employees’ preference and needs. Ensure you have a thorough understanding of your workforce. Segment workers into groups to communicate rewards effectively and map out employee’s journeys to understand their needs on their terms.

Action

Create A Total Rewards Package That Will Help Employees

  1. Conduct analysis of current benefits package: Analyze the benefits you have versus what you think you want to change to.

  2. Engage employee feedback through surveys: Survey employees and managers to understand their needs and requirements.

  3. Talk with total rewards providers: Do a market analysis of different providers and what they can offer your workplace (including how adaptable to change they are).

  4. Determine the right package for your organization: Create the package that best reflects your corporate culture and fits within budgetary restraints.

  5. Implement strategy and adjust as necessary: Slowly implement the rewards package with a proper communication strategy. Monitor and adjust as necessary.

Reference Material

What are the Advantages of a Total Rewards System?

How Total Rewards Can Drive Performance Management Success

Last updated