The importance of a Pay Review
Pay reviews are an important aspect of running any business and they provide organisations with the tools needed to retain their hard-working and talented employees by ensuring they are paid fairly for their work. Unfortunately, since the recession, budgets for wage increases have been at their tightest, with yearly remuneration averaging on the low scale around 2-3 per cent increases. Conversely, in years before the recession, wages saw a more generous 5-6 per cent increase. This has had a rebound effect on how staff see their jobs, with increased numbers of individuals likely to leave jobs over low pay disputes.
A pay review can help businesses reduce their staff turnover, ensuring that hard-working employees are paid fairly when based on market rates and personal performance. It’s no secret that a happy workforce completes a higher calibre of work and effective reward strategies can also contribute to increased productivity.