Sir Paul McCartney once sang that money can’t buy you love. But, can it buy you happiness? That’s one of the questions nonprofit managers need to answer when looking for ways to keep their best employees.
Depending on who you ask, a competitive salary is either a must to keep your best employees or simply just one of the many ways to keep them happy. In an article posted on the website of Nonprofit HR, a human resources consultant company based in Chicago, Leslie Beckridge, acknowledged that the issue of salary and benefits is the trickiest problems organizations will face. She wrote that while some studies have played down the link between monetary rewards and retention, it is nevertheless wise to make sure your organization’s workers are being paid at a rate that makes them feel financially secure.
Of course, handing out pay raises might not be in your organization’s budget. If that is the case, Beckridge recommended being upfront with your employees about their pay and the limits of funding. In the absence of a competitive salary, you can offer your workers creative benefits that can help make up for below-average pay. In our recently-released 2014 Benefits Report, it was reported that 7 in 10 of respondents were offering paid company holidays, medical insurance coverage, paid vacation days, dental insurance coverage and paid bereavement time. If you’re not sure what the latest trends are in terms of compensation, you should consider purchasing this report, as well as our other 2014 Salary and Benefits Reports so that your organization stays competitive.
Beckridge concluded by writing that there’s nothing an organization can do to prevent employees from seeking other opportunities. All you can do, she wrote, is make your organization as attractive as possible by trying to match what other agencies are offering in terms of salary, benefits, and organizational culture.