I was not too pleased when I saw this article from Chief Learning Officer that cites the strategies that companies rely on to attract and retain talent. From the article:
"Eighty percent of companies report that competitive salaries and
rewards are the top method they use to attract top candidates. The
survey of 115 companies, conducted by Capital H Group, a human capital
consulting firm, also found that 79 percent of respondents use monetary
rewards to engage top performers already working at their companies."
First let me say this – I agree that we need to pay competitive salaries. But to rely on money and rewards as your primary methods to engage your workforce? Lunacy!
Why do people leave their jobs? Most often it is because they do not feel challenged, engaged, and appreciated. Often it is because they are working for a crummy manager. Some people even say they leave for money because they don’t want to talk about the real reasons. Very few people leave because of money. You don’t engage your work force’s hearts and minds by throwing rewards their way – we know this!
This was just a sample of 115 companies, but I would not be surprised if these numbers held true for a larger group. It is just sad.
Relating back to my post from yesterday, it is far better (and cheaper) to KEEP our talent than it is to recruit new talent. And yet the prevailing strategies are back-asswards.
If you are an HR exec and you choose to do things differently – based on what we know about why people stay at their company – then you will have a HUGE advantage over these Cro-Magnum enterprises.
If you are a manager and you want to keep great people, you will resist an over-reliance on rewards and strive to establish an environment that enlivens and engages people.
I’ll spare you the long rant and soap box today. If you want to know more about my feelings or ideas on this you can click here.
I will share this brief visual again.
This is your brain…..
This is your brain on extrinsic motivation. Any questions?