There has been quite a debate on whether to increase the minimum wages. The Federal minimum wage is $7.25 an hour although each state and city may have their own wage provisions in place. In fact in places like San Diego minimum wage will be $13.00 (2017) and hour and in Seattle, $15.00 an hour.
As a business owner, while you may be paying your staff more, it can sometimes be a financial challenge to give staff a yearly raise. According to various sources, the pay raise increase on the average is said to be 3% in 2015.
If you are staff and think that a yearly raise is a given, think again. The days of the annual raises just might be over as employers are thinking of other options. In fact, A survey by the Society For Human Resources found that 35% of companies increased spending on benefits.
It puts all in a bind, employers don’t want good staff to leave, replacing them can be an expensive cost of up to 150% of the salary. Many employees don’t want to leave, a raise is not just a sign of appreciation, it is a sign of worth.
What else can you do to creatively reward staff instead of a raise?
- Bonuses or Incentive Pay that can be tied into performance.
- Health Care
- Life Insurance
- Time Off
- Gym memberships
- Commuting rewards, Freeway Fast Tracs (paid toll roads)
- Flexible scheduling
- Extra Paid Time Off- Going home an hour earlier for a week, Adding on an extra holiday or a Monday, Friday.
- More Vacation time
- Education and Trade Shows
- 401 K’s or Retirement plans.
- Expanded maternity leave
- Gift Cards
- Spa Days
- Pet Health Insurance
- Tickets To Events
- Child Care Subsidies
- Recognition, Give monthly rewards.
- Paid Volunteer Time or Send on a Mission Trip
- Paid Sleep Clinic or Sleep experts if they have insomnia.
- Give the employee an option to request their own perk.