INTANGIBLE BENEFITS | Employee Benefits

It should already be clear from much of this book that the authors do not believe that people work for money alone. There are many determinants of the decision to work for, and stay with, a particular employer. Throwing money at recruitment and retention problems may be the worst possible strategy because this only deals with one aspect of what may be a complex problem. It is also, of course, self-limiting, because there has to be an ultimate ceiling on employment costs. What we want to emphasize here is the simple fact that employees weigh up a number of tangible and intangible factors when looking at what employers have on offer. The list below sets out in more detail the main items involved. Most of them are strongly related to the need for personal recognition and the desire to go on learning and developing as a career goes through different stages. Recognition of the overlap between private and working life is also important. Most people prefer to work for an employer who is caring and supportive as well as challenging and successful.

The principal items that form part of the 'psychological contract' are:

§  Status - recognition of seniority and professional excellence.

§  Power - the opportunity to influence the course of the business and take responsibility for a growing number of functions and people.

§  Recognition for achievement - a culture in which managers praise and reinforce individual success.

§  Training opportunities - the chance to acquire a wider range of skills in preparation for promotion and to function more effectively and confidently.

§  Career progression - the prospect of promotion, preferably in relation to a properly designed succession plan, to ensure that the right experience is acquired at the right time to enable new responsibilities to be taken on when the individual has been properly prepared for them.

§  Good working conditions - pleasant, spacious and well-designed offices and other work environments which facilitate effective working both for individuals and teams.

§  A well-managed organization - an appropriate organization structure infused with a sense of purpose and commitment. The reputation for running a 'rough shop' spreads quickly and prevents successful recruitment of all but those who believe they can change it - until they give up!

§  Recognition of the need to balance work and family responsibilities - employees knowing that they are treated as responsible individuals whose family commitments are important to them. This means not developing a culture where becoming a workaholic and risking family breakdown is a key means to promotion. It also means taking a reasonable view on attendance, for instance, at school functions and other family occasions. Organizations seeking to recruit women returners are finding that they have to pay greater heed to the family responsibilities of their men to enable women to feel free to take up employment with adequate partner support. One is mindful of Rosabeth Moss Kanter's paradox - 'succeed, succeed, succeed and raise terrific children' (When Giants Learn to Dance, p 21).

§  Flexibility - a willingness to tailor conditions to the particular needs of individuals. Companies can rapidly develop this when they have to attract staff in great demand, but there may also be benefits to be gained, in terms of commitment and stability, from using the principle in other areas.