Pay: The numbers workers don't see could hurt you
When employees only think of salary in terms of that number on their checks, it can really hurt your company.
If employees don’t understand the total compensation they’re receiving it can lead to morale problems and may eventually lead to turnover.
Here are two best practices to make sure employees see the true value of their take-home pay:
1. Show them the details. Distributing total compensation statements on a yearly basis is a proven value to show staffers’ their true take-home pay.
But be careful: Generic total comp statements that do little more than show a single figure about how much your firm pays in terms of salary and benefits, probably aren’t worth the effort.
Whether it’s the cost of additional training to bonus potential to vacation/sick days, this statement should include everything your company offers with a dollar value. Itemizing everything your firm offers shows staffers not only what they are already receiving, but also what else they’re eligible for.
2. Gauge their understanding. There are probably a number of benefits many staffers know little about – and that’s were increased communication is needed.
One way: Have HR put together a test or survey to gauge employees’ understanding of all benefits – and distribute it to a small section of workers. If you notice an area where people are unclear, that’s where you’ll want to ramp up communications.
Free Training & Resources
White Papers
Provided by Anaplan
White Papers
Provided by Personify Health
Further Reading
A North Texas company made a very expensive mistake. It misclassified workers as contractors and didn’t pay them for overtime put in....
IRS has released 2026 mileage rates and other updates impacting employees who drive personal vehicles for work or employer-provided vehicle...
IRS just released guidance on a new type of emergency savings account, created under the Secure 2.0 Act of 2022. Employers can start off...
One-week paycheck delays would leave nearly eight in 10 U.S. workers scrambling to cover bills, according to PayrollOrg’s 2025 Getting Pa...
Employers may offer caregiver navigation services, helping workers find vital resources. For finance pros, that raises questions about empl...
Interest rates for the second quarter will drop, the IRS recently announced. According to Revenue Ruling 2026-5, the rates for April, Ma...