Why an organisation needs an EVP.

The EVP, or employee value proposition, has become increasing important since the great resignation changed the employment market. An EVP can play a key role in attracting, engaging, and retaining top talent as well as elevating an employer brand so, in a competitive recruitment market, should all organisations have one?

An EVP simply aims to set out and communicate the unique benefits and rewards that an organisation offers to their employees in exchange for their skills, experience, and commitment. This includes salary, benefits, rewards, career development, and work-life balance, as well as the organisation’s values, mission, social purpose, and culture. In short, it’s the value employees can expect to receive from their employment with an organisation. and why it’s the right place for an employee to thrive.

Key components of an EVP include:

·      Compensation and Benefits - salary, bonuses, health insurance, pension plans and any other financial incentives.

·      Career Development - the opportunities for growth, learning, and advancement that are available

·      Work-Life Balance - policies and practices that support a healthy balance between work and personal life

·      Company Culture - the values, mission, and culture of an organisation

·      Job Security - the assurance of a stable and secure employment environment.

·      Recognition and Rewards - programmes that acknowledge and appreciate employees' contributions.

·      Work Environment - the physical and social aspects of the workplace

·      Leadership and Management - the quality of leadership and management within the organisation

·      Corporate Social Responsibility (CSR) - the commitment to give back to the community and address environmental and social issues.

·      Employee Wellbeing – the support for physical and mental health, wellness programmes, and employee assistance services.

Whilst an EVP highlights what an employee can or will receive in return for their commitment to an organisation, an employer brand is external and refers to an organisation’s reputation in the outside world. It highlights its mission, values, what it stands for, and what it’s like to work with, something that is increasingly important to potential employees. The EVP is therefore the core of an employer brand, something that shows the substance of an organisation and why it’s unique.

A well-defined EVP helps an organisation attract the right talent, engage employees, and retain them in the long term. It’s something that should be communicated clearly to both potential and existing employees, align clearly with the organisation’s values and goals and most importantly evolve over time as the organisation's needs and the job market change.