- The war for talent continues unabated, so employers continue the search for the best ways to attract the best and keep top talent in the fold at the same time. According to an article at HR.BLR, equity compensation programs are filling a critical role in accomplishing both.
- The article cites a recent report from Fidelity Investments that found a company stock plan is a necessity in order for 40% of respondents to consider changing employers.
- Also, the same survey reports that 57% of workers admit being "more loyal" when an equity compensation plan exists. The article says it's logical that offering stock shares is picking up traction now, with plans to continue the benefit in the years ahead.
If equity compensation plans truly are on the rise, they are also getting even more complex. That means "educating employees on the value of these complex programs" must follow in order to get the message across. Due to their complex nature, equity comp benefits are often cause make employees feel "overwhelmed and confused" when they try to figure it all out, according to the article.
HR.BLR proposes that employers can make things simpler by deploying a range of communication strategies. Some of those "best practices" (the article offers 10 in all) include gathering employee feedback, determining how to measure success, keeping things simple and in order of priority, understand your audience, give managers more control and communicate regularly. Another bit of advice from the article is to use today’s technology, such as video-based training, podcasts, and social media.
While equity comp programs are by their nature complicated, employers that break down the steps of communication can take full advantage of this growing talent retention and recruiting strategy, the article concludes.