How to Create an Employer Value Proposition

When considering how to attract and retain top talent, it is important for employers to understand that this very much depends on employees having a personal connection to an organisation’s purpose and values alongside a flexible, inclusive and distinctive Employer Value Proposition (EVP).

In this blog, we will explore the Employer Value Proposition meaning, the importance of making this a compelling statement and what the key elements are in attracting talent.

What is an Employer Value Proposition (EVP)?

Most businesses have branding strategies of some sort, which detail how they want to be seen externally and internally. The EVP forms part of this strategy. It is the value that the business provides to its potential employees and existing employees including pay, benefits, career development and culture.

The EVP, sometimes referred to as the Employment Value Proposition, aims to identify and communicate all of the benefits and experiences that employees can expect from working for an organisation. A strong EVP enhances the employer brand by clearly communicating what makes the company an attractive place to work and why the company is the right place for the employees who thrive there. It assists businesses in attracting the right people who align with their unique offerings. When employees feel valued and aligned with the company’s values, they become brand ambassadors, further strengthening the employer brand in the marketplace.

The benefits of a compelling EVP include:

• Attracting top talent by clearly communicating the advantages of working for the business.
• Retaining your top talent as they feel valued and supported, making them more likely to stay with the business.
• Increasing engagement, motivation and productivity.
• Saving money on recruitment and onboarding new team members by attracting and retaining the right people.
• A more engaged, productive and satisfied workforce, meaning business performance will improve.

Some Employer Value Proposition examples that contribute to a well-rounded EVP include the following:

• Pay and benefits – this includes a competitive salary, private medical insurance, pension and any other financial benefits. Whilst financial reward is critical, in isolation it does not make for a well-rounded EVP, as there are many other components to consider.
• Work life benefits – this includes flexible working and family paid policies like maternity, parental and paternity leave.
• Career development – opportunities for professional growth and development. Provide clear career pathways and opportunities for promotion.
• The culture and work environment is key to attracting top talent. A culture of inclusivity, a strong sense of the community and the impact businesses have on it are important to individuals.

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Where to begin when drafting an effective EVP

Drafting a strong EVP is a strategic process that requires a deep understanding of the business, the current and potential employees and the competitive landscape. Here’s how we suggest you start.

Conduct internal research

• Employee surveys and feedback – this is a useful way to understand what current employees value in their work, what they think of the company and ideas for improvements
• Exit interviews – an excellent way to understand why employees leave the business and what could be improved on.
• Leadership and HR – this ensures that the EVP aligns with the company’s strategic goals

Benchmark externally

• Benchmarking – explore the EVPs of your competitors and industry leaders to identify common themes and unique offerings. This helps to understand what other organisations are offering and where you can stand out.
• Industry trends – keep up to date on trends related to employee expectations, such as hybrid or remote working, diversity and inclusion, or sustainability initiatives which may be critical to the target group of potential employees.

Identify the key strengths and unique offerings of the business

• Company culture – define the core values, beliefs and behaviours that make the organisation unique. Understand and articulate what the company mission is and how it is reflected in the day-to-day work environment.
• Career development – highlight the opportunities for growth within the organisation, including training programmes, mentorship, and career progression.
• Work-life balance – determine how the business can support a work-life balance. This would include flexibility and wellness initiatives.
• Reward and recognition – identify how the business recognises and rewards employee contributions.

Develop the core EVP statement

• Craft the messaging – using the voice of the business and based on the research develop a clear and concise message that captures the essence of what the company offers to its employees. Ensure that it resonates emotionally and practically with the target audience.
• Align the message to the company’s brand – the statement should be consistent with the overall corporate brand and mission, reflecting the company’s identity and aspirations. It is important to reflect the nuances of different cultures in organisations that have an international presence.

Test and refine

• Feedback – share the draft EVP with a group of employees and stakeholders for feedback. Adjust the messaging based on their input and ensure that it resonates well.

Communicate the EVP

• Internal Communication – sharing the EVP with the current workforce through any intranets, at staff meetings and training sessions, ensures that managers are well-equipped to discuss this with their teams.
• External communication – using the EVP in recruitment materials is key to attracting talent. Adding it to a company’s career website or social media can also assist in attracting talent.
• Ongoing communication – regularly communicating the EVP through internal newsletters, town hall and recognition programmes helps to keep it at the top of employees’ minds.

Monitor and evolve

• Track metrics – keep track of key HR metrics such as employee engagement, retention rates and effectiveness of recruitment efforts to assess the effectiveness of the EVP.
• Continuous improvement – use the annual benchmarking as a way to ensure the EVP is aligned to the marketplace and to any changes in employee expectations and business goals.

What do employees value in employers?

There are a variety of factors that help employees find value in their employers, and these preferences can vary based on individual needs, job roles, industries and career stages. However, some key aspects are consistently valued across many different demographics and organisations. Here is a breakdown of what employees typically value most in their employers.

Compensation and benefits

• Competitive salary – fair and competitive compensation is a primary factor for most employees. They want to feel that their work is valued and that they are being paid equitably compared to industry standards.
• Benefits package – health insurance, retirement plans, bonuses, paid time off, and other perks (like gym memberships and childcare support) are important. Comprehensive benefits contribute significantly to overall job satisfaction.

Work-Life Balance

• Flexible working hours – the ability to have flexible working hours, including options for remote work, part-time schedules, or flexible start and end times, is highly valued, especially as more employees seek to balance work with personal life.
• Paid time off – generous holiday policies, sick leave and parental leave are crucial for employees to rest and recharge, as well as manage personal responsibilities.

Career Development and Growth

• Learning and development opportunities – employees value opportunities for continuous learning, such as access to training programs, workshops, conferences, and further education.
• Clear career path – a transparent and achievable career progression plan is important for employees to see a future within the company. Regular performance reviews and feedback also contribute to their growth.

Company Culture and Work Environment

• Positive work environment – a supportive and inclusive work environment where employees feel respected, valued, and part of a team is essential. A positive culture that promotes collaboration, innovation, and open communication enhances job satisfaction.
• Diversity and inclusion – employees increasingly value a workplace that is committed to diversity, equity, and inclusion, where diverse perspectives are welcomed, and everyone has equal opportunities.

Job Security

• Stability and security – knowing that their job is secure and that the company has a stable financial outlook is important to employees. Job security provides peace of mind and allows employees to focus on their work without fear of layoffs.

Recognition and Appreciation

• Recognition programs – regular acknowledgement of employees’ hard work and achievements, whether through formal programs (awards, bonuses) or informal recognition (verbal praise, thank you notes), is highly motivating.
• Appreciative leadership – employees value leaders who show appreciation, understand their contributions and support them in their roles.

Autonomy and Empowerment

• Autonomy in work – employees value having control over how they perform their work, the ability to make decisions, and the freedom to innovate and take initiative.
• Empowerment and trust – feeling trusted by leadership to make decisions and contribute ideas without micromanagement enhances job satisfaction and loyalty.

Meaningful Work

• Purpose and impact – employees often seek meaning in their work and want to know that their efforts contribute to something larger, whether it’s the company’s mission, societal impact, or personal fulfilment.
• Alignment with values – when an organisation’s values align with an employee’s personal beliefs, it creates a stronger connection and commitment to the company.

Leadership and Management

• Effective leadership – employees value leaders who are transparent, communicative, supportive, and who provide clear direction. Good leadership is crucial for fostering a positive work environment and guiding employees towards success.
• Access to leadership – having access to senior leadership and feeling that their voices are heard and considered in decision-making processes is important for many employees.

Innovation and Resources

• Access to tools and resources – employees value having the necessary tools, technology, and resources to do their jobs effectively. An environment that fosters innovation and creativity is also important, especially in dynamic industries.
• Opportunities for contribution – employees appreciate when their ideas and feedback are valued and when they have opportunities to contribute to the company’s growth and success.

Having a competitive and compelling EVP helps businesses to be ahead of their competitors when looking to employ the best talent around. For help with developing, communicating and getting the most from your EVP, please call a member of our team today.