When it comes time to consider a job offer, how important is salary vs. total compensation?
According to the 2022 Job Seeker Nation Report by Employ (formerly Jobvite), only 37% of workers are satisfied with their pay. Further, 38% said they left a job over the previous 12 months due to compensation.
Pay wasn’t the only issue, however. Other reasons for leaving a job included poor work-life balance (23%), limited growth opportunities (22%), poor company culture (21%) and lack of flexibility or opportunity for remote work options (18%).
In other words, while salary is important, benefits and perks are just as crucial to workers, whether or not they are job-seeking.
Why You Should Consider Total Compensation from You Recieve a Job Offer
Companies Taking Action
Trends show that companies are paying more attention to employee benefits and perks. A better benefits package encourages retention, improves work-life balance, enhances corporate culture and makes a company more attractive to potential new hires.
The PayScale 2022 Compensation Best Practices Report indicates that “86% of organizations say they have a compensation strategy or are working on one – a 10% increase from last year and a 16% increase from previous years.”
Benefits are forms of compensation offered to employees above and beyond their wages. Medical insurance and retirement savings plans are common non-wage compensations. Certain positions also may earn commissions and bonuses.
However, companies are beginning to realize the need to provide additional benefits beyond the standard offerings to help enhance their employee’s life goals, including:
- Remote work and flexible work hours
- Mental health benefits
- Dental and/or vision insurance
- Help with childcare
- Assistance with student loan debt
- Paid leaves (including vacation, sick time & bereavement)
Beyond benefits, companies might offer perks that help improve your working experience. These extra little rewards speak to a company’s culture, which will factor into your job decision. Popular perks listed by HR Daily Advisor include early release Fridays, flexible and remote working, unlimited vacation time and in-office meal options.
“For some potential hires,” adds Flexjobs, “the perks and benefits are more important than the salary, which means [job seekers] may accept less salary in exchange for better benefits.”
What Are Your Priorities?
Not all benefits are attractive to all people. Younger staff might appreciate stipends for daycare, while older workers with grown children may prefer building their 401K retirement savings.
As you review a compensation offer, consider your current needs and priorities. What benefits and perks does the company offer? Are they useful to you right now? Do they save you time and money or create a better environment that offsets a lower salary?
Examine the Entire Compensation Package
“No thanks” shouldn’t be your knee-jerk reaction to a lowball salary offer. Take a good look at what the company offers beyond salary to help make your life and career work better together.
If you’re seeking a job with better salary and benefits, talk to the placement professionals at Pro Resources Staffing Services to perk up your job search.