Payroll plays an essential role in employee satisfaction. This is true of all employees but particularly true with new employees who do not yet have loyalty or an investment in their new company. When a company can offer their new employee a competitive compensation package, good benefits, and a partnership with a capable, competent payroll service, it's easier for them to stay satisfied in their new role.
New employee retention matters since every new employee is an essential investment for your business. Don't hire your next employee without ensuring that you're ready to retain that individual with a good salary and confidence-inspiring payroll processes.
Competitive Compensation and Benefits Reduces Turnover
Employee satisfaction depends on more than compensation, but it still matters - even among employees personally committed to their careers. Know how much each position at your company is worth, both within your business and also to your competitors.
Check labor data to determine how much each position at your company should pay. If you're committed to retaining those employees, add something extra to the starting salary to ensure that your compensation package is more than fair. Keep a salary chart and matrix showing how much each position at your company earns to ensure that your compensation is fair for each person you hire.
Review your benefits package annually or every two years to ensure that your benefits are competitive with other businesses of your type. Periodically, add something to your benefits package, whether that's an extra hour per month of accumulated sick time or another perk that will mean something to your employees.
Transparency Builds Trust
If your company keeps starting salaries confidential, remember that employees may choose to share information about their salary at any time. Emotions can run high once an employee finds out that they're making more or less than someone else. Your company could be at risk if your salary ranges are perceived as unfair.
Consider making the list of employee starting salaries available to your employees. Transparency builds trust and helps new employees feel that they are being treated fairly along with other employees.
Timely and Accurate Compensation Boosts Confidence
Work with a payroll service that provides timely and accurate compensation to all of your employees. Seek a payroll company with a good reputation, excellent customer service and a history of providing payroll services that meet and exceed expectations.
The more features that your payroll service provides, the easier it is to ensure that your employees are offered a streamlined and satisfactory payroll experience. Listen to employees who provide feedback about your payroll service to ensure that you can find a company that you can trust. Your employees will know if your payroll service is doing the job, and they'll be able to tell you.
How to Use Payroll to Improve Employee Retention
Your payroll service can help improve employee retention, if you choose a payroll provider that meets your needs. Below are some tips for ensuring that your employees have a good experience with your payroll service.
Find the Right Payroll Provider
Finding the right payroll provider is important for ensuring that all your payroll processes will be accurate and reliable. Here's what to look for in your payroll service provider:
- Range of features for a customizable payroll experience.
- Benefits administration services ensure a streamlined and fully integrated benefits program.
- Human resources consulting to ensure that your employees feel supported at the workplace.
Maintain Good Communication with Your Payroll Provider
Maintaining good communication with your payroll provider is essential for ensuring that your employees will have a positive experience with the payroll and benefits side of their employment. Put processes in place to alert your payroll provider about new hires, employee retirement, turnover, etc. Work with your payroll provider to find out exactly what they need to get your new employees onboarded into their system. Have everything in writing to ensure clarity.
Give Employees Power Over Their Own Payroll
Work with a payroll service that allows employees their dashboard and control over their payroll. Include information about payroll in your employee onboarding procedure to ensure that your employees know what to do and how to work with payroll to ensure smooth and stress-free administration of their taxes, benefits, and other payroll functions.
Reduce New Hire Turnover with Workforce PayHub
Increase employee satisfaction with the right payroll provider. At Workforce PayHub, we can help in your quest to reduce new hire turnover through payroll accuracy and a good payroll experience. Contact us today to learn more about our service, or reach out to us to request a quote for service.
