In our Bright Young Things workshops we assist companies in identifying points of gravitation that draw talent into their hallways, offices and boardrooms. Typically, remuneration is listed as a primary gravitation point. However, we believe that this is no longer the top attracter of talent. Fortune (Europe Edition) January 2006, in profiling the 2006 100 Best Companies to Work for in America, argue that one of the resultant effects of globalisation is that companies have to push their “employee-pleasing ways further than ever” … beyond remuneration.
Regarding the 100 Best Companies:
* In 2001, 33 companies in the Fortune list paid 100% of employee’s health-care premiums. Today only 14 do so.
* Since 2005, 27 of the 100 companies have reduced what they pay towards health-care.
* The number of employers offering defined-benefit pensions has dropped from 40 to 27 in three years.
Why does America’s best talent then choose these companies over higher paying offers? It’s partly because the companies are skilled at finding staff-freindly ideas that don’t cost much. Some examples:
* In 1999, only 18 of the 100 companies allowed telecommuting, now 79 do.
* Today 81 companies offered compressed workweeks (e.g. four 10-hour days and Friday off), in 1999 only 25 did.
* More companies are offering free concierge services, take-home meals, free or subsidized lunches …
… all of which are cheaper than health insurance. But it doesn’t stop there – companies making it into the 100 do something esle that is spectacular. They provide employees with a sense of purpose – No.1 on the list is Genentech, a biotechnology research company. This resontes with our message that companies can learn from volunteer organisations – it is a sense of purpose that pulls in the talent. So, I hear you wondering where the inimitable Google ranks on the list with their “Do no evil” motto, and multi-gazillion Googleplex built for superior employee satisfaction … nowhere! Yep, I was surpised too. The reason: Google has not been around long enough to qualify for the research. This measn that the companies on the 100 list have proved themselves in longevity as great employers … gravitation points are long lasting then, so much more than the whimiscal job-hopping for higher paying packages.
See the entire list here.
Technorati : Fortune magazine, talent
100 Best Companies to Work for in America
