Australia Talent Trends
Half 2 is off to a promising start for the Australian business sector with profitability and trading conditions experiencing levels of confidence not seen since 2008. This optimism is also reflected in the improvement of the labour market as full-time employment increased for the tenth consecutive month.
For employees who have ridden out years of low wage growth, the improvement in market conditions has many hoping to see an improvement in compensation. Expectations of base pay have increased by 2.5 per cent – reaching their highest levels since 2011.
With the possibility of more pay, effort levels have ramped up by 5 per cent to 23 per cent, and pulling 6 per cent ahead of the global average.
To capitalise on employees’ putting in more effort at work, and to make good on pay expectations, organisations need to ensure that there are clear lines of communications around pay and rewards. Recognising employee efforts and rewarding them appropriately can create big gains for businesses. In fact, designing pay around performance can increase effort levels by as much as 11 per cent and an employee’s intent to stay by as much as 26 per cent.