H E A L T H W E A L T H C A R E E R

W H E N P E O P L E T H R I V E , B U S I N E S S E S T H R I V E

C U R A T E A D I S T I N C T I V E E M P L O Y E E V A L U E P R O P O S I T I O N

DAVID WREFORD Partner, Career

JULIA HOWES Analytics Leader, UK and Europe

© MERCER 2017 2

T H R I V I N G I N A N A G E O F D I S R U P T I O N

T H R I V I N G W O R K F O R C E

Diverse and Adaptive

Inclusive and Growth Focused

Committed to Wellbeing: psychological, physical,

financial

T H R I V I N G O R G AN I S AT I O N

Success Redefined

Resilient and Agile

Positive Societal Impact

T H R I V I N G I N D I V I D U AL

Growing and Contributing

Empowered and Connected

Healthy and Energised

© MERCER 2017 3

4 S T E P S T O G E T T H E R E

B U I L D I N G A T H R I V I N G W O R K F O R C E

DATA-DRIVEN MINDSET

CULTIVATE

A LAB

MINDSET

VALUE PROPOSITION

CURATE

A COMPELLING

VALUE PROPOSITION

PEOPLE STRATEGY

CRAFT

A FUTURE-FOCUSED

PEOPLE STRATEGY

WORK ENVIRONMENT

CREATE

A THRIVING

WORK ENVIRONMENT

© MERCER 2017 4

S U RV I V E O R T H R I V E : C U R A T E A D I S T I N C T I V E

E M P L O Y E E V A L U E P R O P O S I T I O N

© MERCER 2017 5

E M P L O Y E E S W A N T T O B E T R E A T E D L I K E T H E O R G A N I S A T I O N ’ S B E S T C U S T O M E R

1 in 3 do not feel empowered in their careers

S T E E R I N G M Y C AR E E R

53% want more focus on health

and wellness

H E ALT H AN D W E L L N E S S

#1 way to positively impact

me at work

C O M P E N S AT I O N I S S T I L L K I N G

13 hours per month per employee

spent worrying at work

W O R RY I N G AB O U T M O N E Y

M AK I N G W O R K “ W O R K ”

56% want more flexible options and 77% would work on

contract basis

Source: Mercer 2017 Global Talent Trends Report

© MERCER 2017 6

T A K E A H O L I S T I C V I E W

Create staying power through a U N I Q U E proposition with purpose • Connect me to our company’s mission and vision • Provide me with meaningful and fulfilling work • Help me feel like I belong here

Provide a COMPETITIVE compensation and benefits offering

• Pay me fair and competitively • Reward my contributions • Provide programs to manage my health

and wealth

Create a DIFFERENTIATED experience • Support me with my career journey • Provide me with flexibility to “make work work” for me • Help me manage my physical, financial and emotional

well being

C O M P E N S A T I O N B E N E F I T S

C A R E E R S W E L L B E I N G

P U R P O S E

© MERCER 2017 7

T H E E V P M U S T B E …

Ab o ve a l l , t h e va l u e p r o p o s i t i on m u s t c o n n e c t w i th e m p l o ye e s a s i n d i v i du a l s

INSIGHT LED COST EFFECTIVE

AUTHENTIC AND

ENGAGING PERSONALISED AND FLEXIBLE

HOLISTIC AND INTEGRATED

H O W E V E R …

51% ARE NOT DEFINED

ONLY 25% OF ORGANISATIONS

HAVE MORE THAN ONE EVP

78% DON’T INFORM REWARD

PROGRAMMES

66% DON’T DEFINE A UNIQUE

PROPOSITION

50% DON’T REFLECT THE

EXPERIENCE OF WORKING IN AN ORGANISATION

© MERCER 2017 8

B E C A U S E E V E R Y O N E ’ S O N A U N I Q U E J O U R N E Y

22 YEARS OLD

28 YEARS OLD

33 YEARS OLD

38 YEARS OLD

45 YEARS OLD

50 YEARS OLD

55 YEARS OLD 591/2

YEARS OLD

62 YEARS OLD 65

YEARS OLD 701/2 YEARS OLD

Firsts… job, apartment, car

– benefits/ insurance

Pay off student debt

Get married Take on debt for graduate education Fitness/ wellness

Have children Take on a mortgage Health or

dependent health event/

illness

Pay for children’s education

Pay for dependent

care Possibly single

income

Career advancement/

possibly career

transitions College planning

Sabbatical?

Eligible to make catch-up contributions

Paying for college!

Midlife crisis! Trip of a lifetime

Eligible to make catch-up contributions

In-service withdrawals Penalty-free distributions Able to claim

public benefits Eligible for Medicare benefits

Minimum Required

Distributions

Millennials Generation X Boomers

Managing my expenses in retirement Basic, Leisure, Risks, Emergency, Legacy

A research driven approach to understand the specific needs and requirements of your unique population.

LIFE STAGES EXPLAIN MORE DIFFERENCES THAN GENERATION

© MERCER 2017 9

P E R S O N A S T O A D D R E S S U N I Q U E S E G M E N T S

• Mutuality is important, people are able to commit to differing degrees

• Increased commitment provides higher predictability and continuity

• The value of the deal should be proportional to the level of commitment

• The difference in the offer should encourage greater commitment.

Vocationers

Intermissioners

Willing misfits

Risky misfits Pr

edic

tabi

lity

of a

vaila

bilit

y…

Continuity of Mission….

Regulars

C A S E S T U D Y 1

© MERCER 2017 10

Anchored on a common

PURPOSE

“Saving the world’s most vulnerable people”

T A R G E T E D V A L U E P R O P O S I T I O N S

P U R P O S E

C O M P E N S A T I O N B E N E F I T S

P U R P O S E

C O M P E N S A T I O N B E N E F I T S

C A R E E R W E L L - B E I N G C A R E E R W E L L - B E I N G

INTERMISSIONERS VOCATIONERS

Remove barriers to volunteering

Maintain continuity with home

“You give” – Project culture

Life-threatening

“Sufficient” and slightly variable

Global standards – support continuous employment

“We invest” – Growing leaders

Balanced portfolio

C A S E S T U D Y 1

© MERCER 2017 11

C A S E S T U D Y 2

T Y P E O F W O R K

50

37 30 27

22 19 19 16 15 15 14 10 7

37 31

23 28

17 21

28

16 14 15

24

11 6

0

10

20

30

40

50

60

% S

EL

EC

TE

D

Most Attractive InitiallyMost Attractive Today

THINKING BACK TO WHEN YOU FIRST JOINED ONE, WHICH OF THE FOLLOWING ASPECTS OF YOUR EMPLOYMENT PACKAGE DID YOU FIND MOST ATTRACTIVE? WHICH ARE MOST ATTRACTIVE TODAY?

Type of work is cited most frequently as a factor of initial attraction and also comes out on top in terms

of what is most attractive to employees today

© MERCER 2017 12

C A S E S T U D Y 2

ATTRACTIVENESS INITIALLY

ATTRACTIVENESS TODAY

IMPORTANCE SATISFACTION

R a n k e d #4 o v e r a l l

R a n k e d #3 o v e r a l l

R a n k e d #2 f o r h o u r l y

78% s a t i s f i e d

28% 27%

W O R K S C H E D U L E

© MERCER 2017 13

C A S E S T U D Y 2

ATTRACTIVENESS INITIALLY

ATTRACTIVENESS TODAY

IMPORTANCE SATISFACTION

R a n k e d #3 o v e r a l l

R a n k e d #6 o v e r a l l

R a n k e d #1 o v e r a l l

49% s a t i s f i e d

23%

C O M P E N S A T I O N

31% G r e a t e r t u r n o v e r

l i k e l i h o o d

Those who receive a pay increase within a given year are more likely to leave

© MERCER 2017 14

S O C I A L M E D I A M A Y N O T B E Y O U R F R I E N D

CO. X WEBSI TE

What are you telling candidates?

GLASSDOOR

What are your employees experiencing?

learning world-class

valued dynamic

support variety rewarding

interesting challenging

good-pay low-morale turnover

micromanaged top-down security

inflexible good-hours Poor-leadership

local bureaucratic

unfriendly depressing

traditional

work-life balance out-of-touch

rewarding

interesting ageing

old unstable cold

disappointing

uncertainty

frustrating

© MERCER 2017 15

T H E O P P O R T U N I T I E S

R E T E N T I O N R E P U T A T I O N A N D B R A N D E N G A G E M E N T A T T R A C T I O N

Company reputation Solidify your reputation as an employer of choice

Decreased unwanted turnover Reduction in absenteeism and presentism

More engaged employees Employees connected with the your mission and the work they do each day Increased discretionary effort Personal relevance of the value proposition

Attracting top talent Higher volume and better quality of candidates Improved better quality of hire and decreased quick-quits

© MERCER 2017 16

IT STARTS WITH YOUR PEOPLE STRATEGY: RECORDING AVAILABLE

CURATE A DISTINCTIVE EMPLOYEE VALUE PROPOSITION: TODAY

CARE FOR PHYSICAL, MENTAL AND FINANCIAL WELLBEING: 14 FEB 2018

CRAFT ASPIRATIONAL AND MEANINGFUL CAREERS: 15 MAR 2018

CULTIVATE A LAB MINDSET WITH ANALYTICS AND INNOVATION: 25 APR 2018

DEVELOP INSPIRING, AGILE AND INCLUSIVE LEADERS: 24 JAN 2018

PEOPLE STRATEGY

VALUE PROPOSITION

WORK ENVIRONMENT

DATA-DRIVEN MINDSET

J O I N U S F O R T H E R E S T O F T H E S E R I E S

© MERCER 2017 17

W E A R E H E R E T O H E L P Y O U T H R I V E

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