Total rewards is an approach to reward management which emphasises the need to consider all aspects of the work experience of value to employees, not just a few such as pay and employee benefits. It aims to blend the financial and non-financial elements of reward into a cohesive whole.
The purpose of this toolkit is to describe how the abstract but compelling concept of total rewards can be put into effect in your organisation. This is not easy. Quite clearly, it’s not just a matter of introducing a recognition scheme in addition to conventional contingent pay arrangements. And it means going beyond simply tacking on to existing pay and employee benefit practices a number of established HR policies and processes – learning and development, job design, employee well-being and the like. What it should involve – and what this toolkit describes – is ensuring that a cohesive approach is made to integrating the various approaches that are available to increase engagement.
This toolkit is divided into three main parts:
examination of the concept of total rewards and some of the key terms
main models of total rewards
how to develop a total rewards approach in your organisation.
Click here to download the contents and introductory pages in PDF format.
TOOLKIT CONTENTS
INTRODUCTION
Purpose of the toolkit
Contents of the toolkit
SECTION 1: THE CONCEPT OF TOTAL REWARDS
What is total rewards?
What are the elements of total rewards?
What are the main characteristics of total rewards?
What are the benefits of total rewards?
Key terms
SECTION 2: MODELS OF TOTAL REWARDS
Hay Group
Schuster-Zingheim and Associates
Towers Perrin
WorldatWork
Summary of elements in total rewards models
SECTION 3: INTRODUCING TOTAL REWARDS
Clarify the concept and objectives of total rewards
Involve stakeholders
Identify total reward elements
Prioritise
Make the business case for total rewards
Plan the development programme
Communicate
Involve line managers
Implement
Monitor and evaluate
Box 3.1: Steps required to introduce total rewards
Box 3.2: Forced choice questionnaire for total rewards project
Box 3.3: Executive interview questions for total rewards project
Box 3.4: Employee priorities for total rewards