If companies care so much about employee engagement, why are so few using this effective tactic?
Only 16% of companies are actively communicating their promotional guidelines and policies to employees, despite the fact that promotions have a positive effect on employee engagement, motivation and retention.
That’s according to “Promotional Guidelines“, a new survey of 873 HR, compensation and benefits managers from nonprofit HR association WorldatWork.
The survey also examined respondents’ companies’ approaches to promotions — though few firms communicate promotional guidelines or processes, they still promote about 8% of staffers every year.
Some more interesting stats:
- The most common way companies fun promotional increases? Setting up a budget apart from other pay-increase
- Salaried employees saw on average an 8.7% increase in pay for a promotion, up from 8.3% in 2012, and
- Executives and officers averaged a 10.2% increase for their promotions. That’s better than what they received on average in 2010 – 9.5%.