Employee value proposition: how to attract, engage, retain
Explore how a strong EVP can differentiate your brand and attract the best candidates by focusing on culture, compensation, and career development.
Employee turnover is a constant concern for HR professionals, especially considering that replacing an employee can cost up to 150% of their salary. A recent SurveyMonkey study found that the top reasons for turnover include compensation and benefits (35%), lack of flexible work arrangements (29%), and poor work-life balance (27%).
To tackle this, companies need a strong employee value proposition (EVP) that clearly defines what their company offers and why it's the best place to work. This article will guide you in creating a compelling EVP using employee and candidate feedback.
What is an EVP?
An employee value proposition (EVP) is a clear and compelling statement defining what makes your company a great workplace. It outlines the unique benefits, rewards, and experiences employees gain by being part of your organization. A well-crafted EVP goes beyond salary, emphasizing the values, culture, and opportunities your company offers.
Your EVP should answer crucial questions like: Why should someone work here? What makes this workplace different? It should reflect your company's mission, the growth opportunities, and the overall employee experience—from work culture to career development. An EVP must set the expectations for what it's like to be a part of your team, making it a powerful tool for attracting and retaining top talent.
Why is employee value proposition important?
As traditional retention strategies become less effective, the focus on crafting a holistic and coherent EVP is essential for maintaining a competitive edge in a VUCA (Volatile, Uncertain, Complex, and Ambiguous) environment.
When potential candidates see a well-defined EVP, they know what to expect. This transparency can streamline the hiring process, making finding candidates who fit your company's culture and values easier. An EVP can also boost engagement and satisfaction among current employees.
Here are a few reasons why a strong employee value proposition is essential:
- Improves recruitment: Including your EVP in job listings gives candidates a clear picture of your company, which can speed up hiring and reduce costs by attracting better-suited applicants.
- Boosts engagement: Employees who resonate with your EVP are more likely to stay motivated. When they see their values reflected in your company's culture, their connection to their work deepens.
- Enhances employer branding: A well-crafted EVP strengthens your brand, helping you stand out in the marketplace and appeal to top talent.
- Increases employee satisfaction: A strong EVP directly impacts employees' feelings about their work. Satisfaction rises when they know the organization values their contributions and see clear growth opportunities.
What to include in your employee value proposition
Your Employee Value Proposition should set expectations about what it's like to work for your company. Here are the key elements to include:
- Workplace culture: Define the work environment. Is it collaborative, innovative, or supportive? Highlight what makes your culture unique and why employees thrive in it.
- Compensation: Outline competitive salaries and financial rewards. Mention bonuses, raises, and other monetary benefits that set you apart.
- Benefits: Detail the health, wellness, and retirement benefits offered. Include unique perks like gym memberships, mental health support, or flexible spending accounts.
- Work-life balance: Emphasize your commitment to a balanced life. Offer flexible hours, remote work options, and policies that respect personal time.
- Career development: Show that you invest in your employees' growth. Highlight training programs, mentorship opportunities, and clear career progression paths.
- Purpose and mission: Connect employees' work to a larger goal. Explain how their roles contribute to the company's mission and broader global impact.
An effective EVP encapsulates these aspects, clarifying why your company is a great workplace.
How to create a compelling employee value proposition
After understanding the various benefits of a compelling employee value proposition, many companies want to develop their own. Considering the EVP's importance to employee experience, we recommend you take your time.
An EVP shouldn't just match your competitors. It should encompass your company values and offer something that sets you apart.
Here's a step-by-step guide to creating a winning employee value proposition:
Set your goals and objectives
The first step of developing an EVP is to decide on your goal or what you're trying to achieve.
A good place to start is by working backward. Define your ideal candidate or employee, from their characteristics to their interests and motivators. This can help you outline the core parts of your EVP.
Alternatively, you can look at your existing core values and build upon them. For instance, if transparency is a central value of your business, consider listing the expected salary range on the job posting.
It's important to understand that your EVP should reflect your business type and the one you want to become. You must effectively adapt your EVP to achieve goals like attracting collaborators or a diverse workforce.
Use feedback to develop or improve your EVP
Most companies have some form of an employee value proposition. Some simply add a list of benefits at the end of every job posting, while others have a more elaborate section on employee perks and workplace culture.
Collect employee feedback to determine the effectiveness of your current EVP or create a new one. Employee feedback can help you identify the areas of your EVP that are working well and may need improvement.
You can gather that feedback with different types of surveys:
- Employee satisfaction surveys: Use these surveys to understand what employees think about your workplace culture.
- Employee engagement surveys: Learn what employees enjoy most about your company. Engagement surveys highlight areas where your EVP succeeds and others where you may need to rework what you offer your employees.
- Onboarding surveys: You can use onboarding surveys to gauge a new hire's first impression of your company. These surveys help your company to discover whether you meet the expectations you've set out in your EVP.
- 360-degree surveys: A 360-degree feedback survey helps everyone in your organization share respectful feedback on how others can improve at work. They offer a thoughtful way to learn more about employee performance and expectations in your business.
- Diversity, equity, and inclusion surveys: Learn how to foster a positive work environment where everyone feels valued and supported.
- Exit surveys: One of the most impactful sources of feedback you can use when understanding how well you achieved your EVP is in exit surveys. Departing employees will give honest and transparent feedback that you can utilize to refine your EVP.
Analyze the feedback you receive to determine any potential gaps in your current EVP and your employee experience. You'll also be able to establish your strengths, selling points, and areas you need to improve.
Draft your EVP
At this point, you've got a solid understanding of the successes of your current EVP and feedback from employees. It's time to draft a new employee value proposition.
Remember that a good EVP covers much more than compensation. You should outline how you improve the employee experience across every essential area. Think of the company culture, personal and career development opportunities, rewards and perks, benefits program, compensation, and workplace dynamics.
Your EVP should answer key questions a candidate may have about working for your company, including:
- Why should I apply for this job?
- What employee benefits will I get?
- What makes this organization different and a great place to work?
- What are the company's values?
- Does the business culture appeal to me?
Remember that employees commit large portions of their lives to a company. The best return is always to make their time with your company as fulfilling as possible.
Promote your new EVP
After drafting your EVP, it is crucial to share it externally and internally to ensure everyone, from potential candidates to current employees, understands what makes your company unique.
- Externally: Share your EVP in job listings, on social media, through paid advertising, and on your company's website. Broadcasting your EVP to the world helps attract candidates who align with your company values.
- Internally: Incorporate your EVP into welcome kits, onboarding programs, employee engagement frameworks, and company-wide emails to reinforce your commitment.
Remember to share your EVP's impact with stakeholders and leadership. Highlighting its success can solidify the value of your HR initiatives.
Measure your EVP's impact
Measure your Employee Value Proposition's impact regularly to ensure its effectiveness. Use qualitative and quantitative methods to get a complete picture.
- Qualitative:
- Pulse surveys: Regularly check employee sentiment and benchmark results.
- Online ratings and reviews: Monitor platforms like Glassdoor for feedback on your EVP.
- Pulse surveys: Regularly check employee sentiment and benchmark results.
- Quantitative:
- Time to hire: Track how quickly you fill positions after implementing and updating your EVP.
- Turnover rate: Measure if employee retention improves.
- Applicant-to-interview ratios: Evaluate the quality of candidates attracted by your EVP.
- Cost-per-hire: Assess if your hiring process becomes more cost-effective.
- Time to hire: Track how quickly you fill positions after implementing and updating your EVP.
Improve your EVP continuously
An employee value proposition is not static. As your company evolves, so should your EVP. Regularly revisit and update it to reflect new benefits, compensation structures, or changes in workplace culture, ensuring your EVP remains relevant and continues to attract and retain top talent.
Staying proactive with these updates keeps your EVP aligned with employee expectations and market trends, helping you maintain a competitive edge. A well-maintained EVP shows your commitment to meeting the needs of both current and future employees.
EVP best practices
- Use clear language and avoid jargon to ensure everyone, from job candidates to current employees, understands your message.
- Tailor your message for different audiences. Consider job roles, experience levels, and geographic locations to address their unique needs.
- Consider the entire employee lifecycle to ensure your EVP resonates throughout the entire employee journey, from recruitment to offboarding. This consistency reinforces your company's values at every stage.
Employee value proposition examples
Here are four examples of employee value propositions, including how each brand crafts them using the key elements outlined above.
HubSpot
HubSpot publishes its EVP on its career's page:
"We're building a culture at HubSpot where amazing people (like you) can do their best work. If you're ready to grow your career and help millions of organizations grow better, you've come to the right place."
How HubSpot crafts its EVP:
- Workplace culture: HubSpot emphasizes a culture where "amazing people" can do their best work, fostering an environment of growth and excellence.
- Career development: The EVP highlights career growth, appealing to those seeking personal and professional development.
Salesforce
Salesforce has a page dedicated to the company's EVP and values:
"Since day one, we have focused on doing well in business while also doing good in our communities. Our values have helped to differentiate our culture and strengthen our relationships with all stakeholders. We believe business is the greatest platform for change and proudly invite others to join us in taking action for people and the planet."
Salesforce also lists the company's core values: trust, customer success, innovation, equality, and sustainability.
How Salesforce crafts its EVP:
- Purpose and mission: Salesforce strongly connects employee roles to a larger mission, focusing on values like trust, innovation, and equality. This shows that employees are part of a company driving global change.
- Workplace culture: The EVP outlines a culture defined by strong core values, reinforcing a sense of belonging and purpose.
Airbnb
- Live and Work Anywhere: We know there is no one-size-fits-all approach to work. That's why we give our employees the flexibility to live and work anywhere in the world where regulations allow—while still providing them with opportunities to connect in person.
- We welcome you: Creating connection and belonging in the world begins with a workplace where you're both welcomed and empowered to be your authentic self so that you can deliver your best work. We're committed to ensuring Airbnb is a place where people of all backgrounds, identities, and experiences can thrive.
- Make an impact: Join our global creative community, where passion and collaboration drive innovation to make products that impact the world. Work alongside industry-leading talent and be part of our vibrant network, encompassing people from all walks of life.
How Airbnb crafts its EVP:
- Work-life balance: Airbnb's "Live and Work Anywhere" policy highlights flexibility, appealing to those valuing work-life balance.
- Workplace culture: They stress inclusivity and belonging, ensuring employees feel welcomed and empowered, which is key to a positive work environment.
SurveyMonkey
At SurveyMonkey, we promote our EVP with five core values:
- Stay curious: Curiosity is our superpower. We embrace a growth mindset, take risks, and learn from the outcomes.
- Innovate for customers: We grow and innovate right alongside our customers. To deliver value to them, we listen, we understand, we act—and we keep at it.
- Stand for equality: We champion diversity and welcome individuality. Together, we create an equitable workplace where each person can truly belong and do their best work.
- Trust the team: We succeed as one global team. We are accountable to one another, value opinions, and communicate with clarity and kindness. We prioritize health and support one another.
- Make it happen: Our customers, colleagues, and community inspire us to compete, win, and give back. We focus, we act with integrity, and we own the results.
How SurveyMonkey crafts its EVP:
- Workplace culture: SurveyMonkey's EVP highlights a culture driven by curiosity, innovation, and teamwork. The emphasis on diversity and inclusion shows a supportive environment where employees can thrive.
- Purpose and mission: The values "Innovate for customers" and "Make it happen" connect employee efforts to customer success and broader impact, underscoring the company's mission-driven approach.
- Career development: The focus on continuous learning and growth, encouraged through a "growth mindset," reflects a strong commitment to employee development.
Attract and retain top talent with SurveyMonkey
Get the feedback you need to create a compelling employee value proposition. Automatically survey employees and candidates, analyze the results, and use the insights to build a better employer brand. You can collaborate with your team and integrate SurveyMonkey with software you already use, making it easier to manage your recruiting and retention all in one place.
Learn how SurveyMonkey can help you find the right candidates.
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