What Is An Employee Value Proposition (EVP)?
17th May 2023
An Employee Value Proposition (EVP) is a package that your company offers to show off how awesome you are; it's essentially what you are able to give your employees in exchange for their skills and experiences. Think of it as a magnet that attracts candidates and retains talent, making you an employer of choice. Your EVP is about putting employees first and aligning this with your company's values and strategies. It's the secret sauce that makes your company unique, relevant, and compelling to work for. If you want to attract, engage, and retain the best talent out there, having a killer EVP is a top priority.
Our 5 key Employee Value Proposition (EVP) elementsWhen it comes to creating a great EVP, it will be unique to your company. However, we believe there are some key ingredients that should feature. We’ll dive into each of these below to give some inspiration for refining your own EVP.
Salary compensationMaking sure your employees are happy with their salaries is a must. We're talking about fair and competitive pay (regardless of gender, ethnicity and location); this will show that you appreciate and value their work. Bonuses, salary raises and promotions are an ideal way to showcase this; a culture where you're rewarded for your performance keeps employees engaged and motivated, plus benefitting the company. Let's not forget about other perks like profit-sharing, company shares and commission structures that can really give employees a sense of ownership.
BenefitsBenefits are like the icing on the cake; we're talking about all the other exciting stuff that doesn't involve money. Think health insurance, retirement plans, paid time off, family and parental leave, mental well-being support, sabbaticals and work-from-home budgets. Taking care of your people and showing commitment to work-life balance can have a hugely positive impact on overall well-being. Within this competitive market, a unique benefits package will help set you apart in attracting, retaining and engaging top talent.
CareerGrowth and progression opportunities are the name of the game when it comes to attracting candidates and keeping employees engaged, whether learning new skills or tackling exciting challenges. So, what does that look like? Think about offering mentorship opportunities and training initiatives to help every employee level up. This includes clear progression plans that put employees in the driver's seat of their careers so they know exactly what they need to do to advance. A strong EVP will have an emphasis on continuous learning and development to keep employees engaged and help you retain talent.
Work environmentAn EVP that incorporates inclusivity is key; a work environment that's all about positivity, boosting productivity and fuelling collaboration. When we say work environment, we mean everything from location flexibility to flexible working hours, Work From Anywhere Schemes, dog-friendly offices, prayer and worship rooms and disability access. Embracing diversity and making sure everyone feels welcome and supported is a must to have a great work environment.
Workplace cultureA positive workplace culture focuses on employee engagement and satisfaction to create a sense of belonging. It represents the values and beliefs that define the overall behaviour of a company and its employees. It includes elements such as trust, open communication, teamwork, role modelling that feeds down from the leadership team, diversity and inclusion, employee recognition, work-life balance and a supportive and respectful environment.
The importance of an EVP
If you neglect to prioritise your EVP, you're likely to be running into a few different roadblocks and challenges, including;
- Difficulty in attracting top talent - without a strong EVP highlighting your unique culture and values, it becomes challenging to attract top talent who resonate with your company's identity and purpose.
- High employee turnover - when employees don't feel valued or engaged, they’ll become demotivated and will look to seek alternative employment. A weak EVP can result in higher turnover rates, leading to increased recruitment costs, lost productivity and a negative impact on team morale.
- Lack of competitive advantage - with all the companies out there fighting for the attention of talented candidates, an EVP that is lacking puts you at a disadvantage. It then makes it more challenging for you to differentiate yourself and showcase why potential employees would want to work for you.
- Costs and time to hire - longer recruitment cycles, increased recruitment agency spend, and potential loss of productivity due to vacant positions can all result from an EVP that does not effectively communicate the benefits of working for your company.
Remember, having a strong EVP is what sets you apart from the competition. It acts as a powerful magnet, attracting top talent and compelling them to choose your company over others. A well-crafted EVP not only captures the attention of highly skilled candidates but also creates their long-term commitment and loyalty. It becomes the secret sauce that keeps your best employees engaged, motivated, and dedicated to your company's success.