IN THIS ERA OF TIGHTENED BELTS,
ORGANIZATIONS ARE LEVERAGING
EVERY TOOL IN THE COMPENSATION
TOOLKIT TO ATTRACT AND RETAIN
By Melissa Campeau Rob Hyrons / Shutterstock.com
In recent years, the necessity of attracting and retaining top
talent has become the mother of HR innovation. Back when di-rect
compensation budgets had more give, outsized salaries and
generous raises were the go-to tactic for drawing – and keeping
– the best and the brightest.
For the past several years, though, direct compensation growth
has been extremely modest. At the same time, Canadian workplac-es
have been facing a talent shortage in many key areas, resulting in
fierce competition for workers with in-demand expertise.
Increasingly, organizations are finding the solution to these
competing pressures lies in a more sophisticated understanding of
what drives and inspires employees. While direct pay may always
be the first reason people come to work, a tailored total compensa-tion
package can tap into all the other factors that help build loyalty
and a strong employee-employer relationship. Organizations that
can find just the right recipe for their total compensation mix have
a far better chance at flourishing in a steady, no-frills economy.
There are a number of factors at play impacting the current pay
environment in Canada.
“We’re in a period of tenuous economic growth and the new
normal for growth is smaller than what we were used to,” said
18 ❚ FEBRUARY 2018 ❚ HR PROFESSIONAL