On its website, my employer claims to be an employer of choice. My experience as an employee in this organization leads me to question the veracity of this statement. What really sets the best employers apart? – Eric
In a context of labor shortage and strong competition for talent, many organizations present themselves as an employer of choice. It’s in their interest, of course, if they want to attract and retain the best employees. But, as Eric senses, the message transmitted by his organization is perhaps more a question of image or the promotion of an “employer brand” which depicts more of a wish than a reality.
Eric wants to make an informed judgment on his employer, perhaps to determine whether he will stay in his job. Likewise, if he decides to leave, he will want to improve his situation by joining an employer with more to offer him. In both cases, an appropriate analysis grid on what is an employer of choice can help them make a good decision.
Three beliefs to reconsider
• An employer of choice is a better payer
Focusing on money issues can easily put you on the wrong track. Often, the best employers ensure they are competitive in terms of overall compensation (salaries and bonuses), without positioning themselves as the organization that pays the most. They don’t need to be at the top of the list to attract and retain employees. Focusing on a leadership style that builds trust, supports autonomy, reinforces a sense of belonging and provides opportunities for development can contribute more to being a top employer than extrinsic motivators like money that can harm commitment.
• An employer of choice obtains public recognition
Declaring yourself an employer of choice carries more weight if it is proven by recognition or prizes awarded by external organizations. However, the large number of competitions and the diversity of methodologies for determining winners tend to dilute the value of these rankings over time. Some competitions, based on independent employee surveys, are more rigorous than others. But participation in these competitions is voluntary, so the list of best employers depends heavily on who shows up. And since many very good employers simply do not submit their application, it is hazardous for an employee to rely solely on this criterion, even if it may prove relevant.
• An employer of choice is innovative in its human resources practices
Some organizations put forward ways of doing things that attract attention and thus help promote their image as employers of choice. It can be a great place to work, offer unlimited vacation and sick leave or the on-site gym. These practices will not have a lasting impact on an employer’s positioning unless they are complementary to a strong organizational culture that values people in the success of the organization. Local companies, such as Workleap (formerly GSoft), have bold practices, but they have also made a formal commitment to making their employees happy as the basis of their business model.
An “Employees First” Mentality
In my opinion, the main reason that defines employers of choice is a matter of human resource management approach or philosophy. Unlike many organizations today that still view their employees as a cost to be limited or reduced, the best employers instead see them as a crucial source of investment. Although the human capital in which they invest will never be their property, these organizations are betting that satisfied, competent and healthy employees will bring more value for the customer and more innovation, productivity and flexibility than sums that will be devoted to creating these conditions.
For more than two decades, for MBA teaching purposes, I followed around thirty companies from here and elsewhere that were considered exceptional employers. Wegman’s, a 110-store grocery chain based in Rochester, New York, with more than 53,000 employees, has been on the magazine’s list of 100 Best Employers since 1998. Fortune. She is regularly part of the top 10including the 4e rank in 2023.
Like other companies in this exclusive club, Wegman’s had, for a period of time, the slogan “Employees First, Customers Second” to make it clear that its strategy was to build its business results through exceptional service. which had its origins in the positive attitudes and behaviors of its employees. An “Employees First” mentality suggests that it is satisfied and loyal employees who create satisfied and loyal customers.
The golden rule that you should treat your employees as well as you would like them to treat customers and colleagues is the basis of what defines an employer of choice.