Randstad recently released their Employer Brand Research Global Report 2024. The survey had over 170,000 respondents and included 6,084 companies worldwide. It aims to help employers shape their brand to attract and retain talent.

The data revealed that 17% of respondents globally switched jobs in the last six months of 2023, and 26% intended to change in the first six months of 2024. This highlights the need for employers to address the challenge of talent attraction and retention amidst the rising levels of labour turnover.

Tailored to preferences

The executive summary captured the essence of the findings.

“By gaining a deep understanding of the preferences of working-age adults, businesses

can create tailored and actionable policies and practices designed to attract and retain top talent. Given the increasing competition for skilled workers in a tight labor market, aligning the employee value proposition with workforce preferences becomes paramount for sustaining competitiveness and securing a coveted position as an employer of choice.”

To become an employer of choice, the steps are clear:

1. Understand the preferences of potential and existing employees.

2. Tailor policies and practices accordingly to align your employee value proposition (EVP) with workforce preferences.

Whilst that may seem obvious, it clearly is not for many employers.

The opportunity gap

The Randstad brand research has been implemented in 32 countries. The 2024 report on Australian employers showed a distinct difference between what employees want when choosing an employer and what employers are focused on providing.

There is an opportunity to address the gap and attract and retain employees by providing them with what they seek.

Source: Randstad 2024 Employer Brand Research

Top five reasons to choose and reasons to leave

Globally, the top five reasons employees choose an employer are:

1. Salary and benefits

2. Work-life balance

3. Job security

4. Pleasant work atmosphere

5. Equity

The top five reasons employees leave an employer are:

1. To improve my work-life balance (36%)

2. Too low compensation due to the rising cost of living (35%)

3. I lack career opportunities - limited career path (27%)

4. I received an offer I could not refuse (25%)

5. My commuting time is too long (21%)

Salary and benefits will always be the key considerations when choosing an employer, as we all want a decent standard of living. However, as we can see from the reasons for leaving, the number one factor is work-life balance, closely followed by salary and benefits (compensation).

In Australia, employers rank salary and benefits as their ninth offering to attract and retain talent, and work-life balance is ranked fifth. This is a clear misalignment with what employees are seeking.

Most attractive employers

Randstad also lists the most attractive employers in the countries they surveyed. In Australia, the top five are:

1. Deloitte

2. IAG Australia

3. NSW Department of Communities and Justice

4. Virgin Australia

5. G8 Education

These top five are in a mix of industries and have unique attributes. Randstad concludes that what sets these companies apart is that they have tailored their strategies to leverage their unique strengths, such as financial stability, work-life balance, or job security. There is no one-size-fits-all to becoming an employer of choice. Across different sectors, there are appealing employer brands, each offering unique opportunities and benefits for today’s workforce.

The future

Organisations must look at the evolving trends in employee expectations to determine how to attract and retain talent. In the “Unveiling Australia’s Most Attractive Employers of 2024”, Randstad says:

“The landscape of employer attractiveness isn't just about what organisations offer now, but also how they align with the evolving expectations of potential employees. Key drivers like work-life balance, attractive salary and benefits, and job security remain top priorities. Interestingly, equity has emerged as a critical factor, especially among women, reflecting broader social movements towards inclusivity and fairness in the workplace.”

Organisations have an opportunity to address the gaps revealed in this research between employee expectations and employer offerings. They must determine where the biggest discrepancies exist and work to close the gap.

The gaps

As we have seen, the top five gaps are:

· Work-life balance

· Attractive salary and benefits

· Job security

· Good training

· Equity

Organisations must grasp the opportunities to close gaps and improve employee perception of them in the competitive job market.

Work-life balance

Since the end of the COVID-19 pandemic, the employee expectation of having a work-life balance has been loudly expressed across media channels.

Employers' return-to-office mandates fly in the face of work-life balance.

Employers must offer flexibility and autonomy to employees so that they can arrange their professional lives around their personal lives rather than the other way around.

Attractive salary and benefits

The rising cost of living makes this an important employee expectation. Organisations must ensure that their salary and benefits are competitive to attract and retain talent. Regular compensation reviews should be conducted, and packages adjusted as needed to remain competitive and reflect the prevailing economic conditions.

When organisations are transparent about how they structure their salary and benefits and the factors determining pay raises and promotions, they can improve employee perception of fairness and equity.

Job security

Once again, transparency is key. Organisations must keep open lines of communication regarding their companies' current and future financial positions. When they do this, it increases employee perception of their job security.

Good training

Many employees do not believe employers are offering enough opportunities for learning and development, career progression, and professional growth. Employers must ensure that they not only provide these opportunities but also adequately promote them so that all potential and current employees know about them. Training and development must be customised to individual employee needs and aspirations.

Equity

This is an area of growing importance to employees. Employees want to be treated fairly and equally irrespective of gender, age, ethnicity, etc. We know a pay gap exists between men and women doing the same work. Employers must be seen to address this disparity. A diversity, equity, inclusion, and belonging (DEIB) framework should promote the fair treatment and full participation of everyone in the workforce. This is not a once-a-year initiative but something embedded into the culture that is lived and breathed daily.

Feedback

Employers must seek regular feedback from employees (current and potential) regarding efforts to close these gaps. Regular feedback and subsequent action can ensure that organisations remain aligned with employee expectations and increase their attractiveness. Employees know what they want—their expectations are clear. Unless employers listen and align their offerings with these expectations, they will not retain or attract the talent they need to remain in business. `This is not a nice-to-have – this is about survival.

It is quite simple:

· Step 1. Ask

· Step 2. Listen

· Step 3. Act

· Step 4. Go to step 1

Tailor-made Employee Attraction