REWARD MANAGEMENT
Aon survey uncovers dissatisfaction with reward practices
Two-fifths of employees say they are not satisfied with their overall rewards and recognition programmes, according to figures gathered by remuneration consultants Aon.
While 55.3% of the 1,507 interviewees report that recognition and rewards meet or exceed their expectations, as many as 44.7% say they are not satisfied.
Aon says: Rewards, particularly pay, are not meeting the needs of most employees. Pay is not perceived as equitable within their organisation or competitive externally. Employees do not always see a link between their pay and their performance.
Employee views on reward
The research looks at employees' attitudes and commitment within UK workplaces and the effectiveness of 42 organisational practices, including 13 items in reward.
The key reward statistics are these . . .
| Per cent of employees reporting that rewards are below or well below expectations: | |
| The recognition and rewards you receive from doing your job | 44.7% |
| Your organisation’ s efforts to provide pay and benefits that truly meet your expectations | 39.9% |
| Your benefits package covering the needs of you and your family | 29.6% |
| Your pay’ s fairness compared to others in similar jobs within your organisation | 29.6% |
| Your pay’ s fairness compared to others in similar jobs at different organisations | 38.5% |
| The manner in which your performance is evaluated | 34.5% |
| The link between your job performance and the remuneration you receive | 41.5% |
Source: UK@Work 2001, Aon Loyalty Institute.
Criteria for success
Organisations need to intensify their efforts to provide pay and benefits programmes that are truly responsive to employee need, especially with regard to pay. First they need to ‘ be in the game’ with a pay structure that is attractive compared to other organisations with which they are competing for workforce share. Secondly, they need to examine their remuneration strategy to ensure that it is aligned with performance. — UK@Work 2001, Aon Loyalty Institute.
Survey details
Title: UK@Work 2001, Aon Loyalty Institute.
Survey sample: Aon conducted 1,507 telephone interviews with employees during the last quarter of 2000.
Methodology: The researchers developed a measure called the UK Workforce Commitment Index (WCI) to summarise the level of employees' commitment to their organisations.
The data the researchers assembled last year was used to establish a benchmark index pitched at 100. So, Aon is able to track trends: a score above 100 represents higher commitment and a figure less than 100 indicates lower commitment.
Availability: Contact Charlotte Mandel at Aon in London, tel: 020 7767 2220.
Take a look at Aon’ s UK web site . . . http://uk.aon.com