- Employers are more willing to reward top performers this year rather than opt for cost control in a dash to retain talent, a new Xerox Services survey reports. Raises remain at 3%, but "nearly all" survey participants who plan to give lump sum payments in 2017 will do so to reward top performers.
- The survey reveals that pay plan transparency is taking hold at many companies as well. 64% of respondents said they "shared their compensation strategy" with employees, and 59% communicate with their employees how organizational performance will impact pay.
- Over half of employers (54%) "anticipate normal hiring" in 2017.
While other surveys have shown that salaries and wage freezes may be on the rise in 2017 despite the continuing presence of a job seeker's market, this report is considerably more optimistic about the state of reward pay. This recent report points out, however, the growing importance of transparency in the organization. Pay transparency, in particular, is a somewhat contentious but important development for workplaces, especially as millennials remain more open to — or even expect — broad conversations about compensation.
Typically, honesty breeds trust, leading to more engaged employees and a more positive culture overall. Allowing more openness about the workings of the company may be a solid place to start.