More Effective Bank Compensation Strategies

Highlights From 2018 Survey

10/26/2018

More Effective Bank Compensation Strategies Key Takeaways

  • New approaches to benefits and compensation, like the Total Rewards concept, should be explored by banks to improve overall employee satisfaction.
  • Open communication is vital to ensure that employee expectations align with your bank’s compensation and benefit offerings.
  • Performance incentives can boost employee productivity and improve work quality.
  • A multi-channel approach to recruitment enables maximum exposure to potential candidates as well as increased opportunity for general brand awareness.

Based on recent data from hundreds of national banks, Crowe’s Bank Compensation Survey provides valuable compensation benchmarking data as well as actionable insights regarding benefits and human resources. In this on-demand webinar, Crowe Managing Director Tim Reimink, Human Capital M&A and Solutions Leader Mark Walztoni, and Performance Improvement Consultant Nicholas Moore detail these findings and provide guidance when it comes to trends in bank compensation and benefits. Our bank performance consulting specialists offer best practice suggestions you can implement at your institution to keep your retention rate healthy and attract potential talent.

Bank Compensation Survey Findings

  • One approach banks should consider deploying is the Total Rewards concept. This strategy is built upon seven components – salary, bonus, incentives, benefits, work/life balance, learning and development, recognition – that are designed to attract, motivate, retain, and engage bank employees. Benefit costs, particularly healthcare, can be a concern for banks, but introducing other perks such as a work-from-anywhere policy or flexible dress code cost little to no money to enact and can significantly improve employee satisfaction.
  • While benefits are an essential piece of the Total Rewards strategy, communication is equally as important. Asking your employees for their opinions and listening to what is meaningful, rewarding, and attractive to them is a solid practice to apply. It shows you’re investing time in their lives and value them as people and professionals. As you open that line of communication, it’s vital to ensure you’re aligning employee expectations with the vision and strategy of your bank.
  • When it comes to incentives, a good practice to follow is to differentiate the rewards for employees who are performing at an average level and those who are performing at an above-average level. This gives average employees greater incentive to work harder and reach an above-average performance, leading to better results for your bank.
  • Engaging with anyone and everyone during a job candidate search is key to attracting, retaining, and motivating talent. One way to do this is by creating a social media presence. This allows potential candidates to discover, research, and engage with your organization. It also allows talent to spread the word about your organization to family and friends, helping bring new customers and clients to your bank.

Crowe Banking Performance

An evolving workforce and a changing industry landscape is forcing banks to reevaluate their compensation and benefits strategies. The 2018 edition of the annual Crowe Bank Compensation Survey can help you make sound decisions for your bank regarding compensation, benefits, and human resources. Get in touch with Crowe today to receive your copy.