Employee Value Proposition (What It Is and Why You Need It)

Posted on by Courtney
Employee values written on building blocks.

The Employee Value Proposition (EVP) is gaining importance in the current competitive recruitment landscape. As a part of your employer brand, your EVP will present to current and potential employees the benefits of working for your organization, helping in the recruitment and retention of top talent.

What is an Employee Value Proposition?

This is your unique offering of both financial and non-financial benefits to show employees the value of working at your company, essentially what’s in it for them!

The EVP is part of your overall employer brand. While employer branding is a broader strategy that is meant to influence the perception of your company in the workforce, the EVP should be very specific, detailed, and clear.

Your own EVP will include some combination of the following offerings:

  • Salary
  • Health Benefits
  • PTO
  • Retirement Plans/Contributions
  • Parental Leave Benefits
  • Wellness Benefits
  • Transportation Benefits
  • Flexible Hours
  • Hybrid or Remote Work Opportunities
  • Recognition Programs
  • Team Building Activities
  • Community Service Activities
  • Professional Development Opportunities
  • Mentorship Programs
  • Educational/Training Opportunities

There may be many different ideas to add to your EVP that are specific to your company or industry too!

Why Do You Need It?

Having a clear and defined Employee Value Proposition is SO important in today’s competitive candidate marketplace. Not only will it help to attract talent, but it will aid in employee retention too. The stronger your EVP is, the more an employee may think twice about jumping ship and we can’t stress enough the cost savings of employee retention!

When it comes to recruitment, organizations that can clearly present their EVP can increase new hire commitment by 30%. It can also help to demonstrate that the employer cares for the overall well-being of employees.

Outlining your EVP shows transparency among the workforce too, leading to increased employee engagement and trust between employees and employers.

Lastly, a defined EVP will be helpful in the promotion of your brand and culture to acquire top talent to want to join your organization.

How to Create Your Employee Value Proposition

1. Define It

Whether or not your organization has formerly written down an EVP, odds are you have various benefits and perks you share with candidates during the interview process or offer stage. It is time to list all of these out!

Also, brainstorm the other incentives that employees get for working at your company that maybe you do not currently advertise as part of your recruitment or retention strategy (i.e. mentorship programs, advancement opportunities, continuing education, etc).

2. Improve It

Measure your offering against competitors, especially those competitors with which you compete for talent. You can also speak with your current employees to see what they think of the EVP and what other offerings would add value to them.

We are not suggesting that every idea or competitor offering MUST be a part of your EVP. However, it is important to keep tabs on the industry and what your current employees value and implement what makes sense to do so.

3. Communicate It

Now that you have defined your employee value proposition, it’s time to share it with the world! Make sure your messaging is consistent and incorporate it through your social media, website, branding/marketing collateral, content creation, industry/recruitment events, etc. Whoever is in charge of your marketing recruitment will most likely take the lead on this.

4. Optimize It

As the marketplace and greater culture continue to move and shift, your Employee Value Proposition should develop along with it. As time goes on, continuously review your offerings and ensure they align with the needs and goals of the talent you want to acquire and retain.

For example, before the Covid-19 pandemic, remote work was far more rare. After 2020, many companies needed to shift this element of their offerings to be more flexible to retain and attract employees.

Continuously get feedback from employees, review your benchmarks, and evaluate competitors to create an Employee Value Proposition that makes sense for your company both financially and culturally, attracts top talent, and retains your best employees to create the best possible outcomes for your organization.

 

If you are working with a recruitment firm on any searches, make sure to share your EVP with them so they can market you to their network and find you the best possible candidates. If you are looking for a recruitment partner, take a look at our specialties, and let’s connect!