Organisational Design

Why you need to understand your Employee Value Proposition

  • reading time 1min Read
  • publish date 18 February 2013
  • author It Admin
Glasses

Employer Brand International’s 2012/2013 Global Research study found that 39% of companies plan to increase their investment in employer branding initiatives in 2013.

Brand management starts on the inside. What is it about your organisation that attracts and retains employees? 

Understanding and defining your company’s Employee Value Proposition (EVP) can allow leaders to gain a deeper understanding of what it is that attracts potential candidates to join and current employees to stay.

An EVP can be created through communication with your current employees can help uncover what it is about your organisation that’s truly valued.  And it’s not always salary.  In fact, research suggests that 88% of employees do not leave a company because of the salary.  So long as a fair salary has been negotiated, it is rarely one of the deciding factors in employee retention.

The Corporate Leadership Council has defined a set of attributes that employees and potential candidates identify as the value they gain through their employment in varying degrees:

According to CLC’s data analysis, the attribute ranked as most important to employees in 2009 was ‘Job- Interest Alignment’.  This was followed by, ‘manager quality,’ ‘co-worker quality’, ‘people management,’ and ‘respect’.  It is also important to remember that these are general results and an EVP is a very personal thing that can yield varied results in different industries.

Understanding which factors contribute to employees joining and staying with an organisation allows a focused approach to recruitment and retention. The value existing employees place on the organisation combined with internal positive sentiment is reflected outward to the market which can ultimately increase the appeal of the organisation to potential employees.