This post was first published in February 2019
When people think of the Employee Value Proposition, positive and effective leadership is not usually the first thing they think of. Employment Hero describes the Employee Value Proposition (EVP) as “the balance of rewards and benefits that a company can offer its employees in return for their amazing performance within the workplace ”.
Your EVP is basically your company or employer Brand and helps differentiate your Brand from others – it’s what makes people want to work for you instead of your competitors. It can also be a useful bargaining tool when trying to attract new talent as it is something unique that you can offer. This becomes particularly important as we struggle through global talent shortage both when looking for new talent and retaining existing talent.
In fact, Gartner suggest that companies with a strong EVP reduce annual employee turnover by over two-thirds (69%) and increase new hire commitments by nearly 30%.
Furthermore, Hubspot reports a whopping 86% of workers would not want to work for a company that has a bad reputation with former employees. By contrast, 75% of active job seekers are likely to apply for a job if the employer actively manages its employer brand and their company’s EVP.
Leadership might not be the first thing that springs to mind when thinking about EVP, but it is critical. People leaders contribute directly to their team’s career development and job satisfaction, and it is important that these individuals have their own “leadership proposition” that attracts and retains people.
When developing your unique ‘leadership proposition’ consider the following:
If you want to attract high value talent to your organization, then you need to offer them something of high value in return. A one size fits all approach is no longer sufficient and you may have to negotiate with both the individual and your superiors to come to a mutually satisfactory outcome. Examples of meaningful compensations can include greater flexibility, financial incentives, specific job titles, and development and experience opportunities
This goes beyond being great people producing great work. As a people leader you need to be aware of your own biases and manage or remove any historical barriers so that when you lead your team you enable its diversity to thrive.
Create stretch opportunities and coach around self-limiting career beliefs to motivate and inspire career aspirations.
Work with them to set up team rules, guidelines or performance objectives and start making flexibility the new normal. Be aware that if you can’t make it work, another leader who wants your staff member, will.
Open the door to mentors and coaches for your people. Support secondments, lateral moves and projects to further develop capability
A leader who says all the right things to their team, but does not take their own advice, risks being considered inauthentic. A leader who is truly engaged at work and finds satisfaction their career is naturally more inspiring to others. And by being a great leader you’re more likely to retain your employees longer and see increased levels of employee satisfaction.