In the past, the term “golden handcuffs” was used to refer to the financial incentives employers offered to key employees to encourage them to stay with the company. And today, with so many businesses competing for top talent, you have to wonder how many businesses are using this technique and whether it’s successful. Kevin Monaghan, owner of Intuitive Compensation Group, is back with us on this week’s episode of unsuitable on Rea Radio to talk about the concept of golden handcuffs and whether or not they help or hurt employee retention.
If you haven’t had a chance to listen to last week’s episode with Kevin, we highly recommend it – especially if you own, work in, or stand to inherit a family-owned business.
Compensation Without Handcuffs
There are six pillars of compensation: pay, benefits, equity, profit-sharing plans, phantom stock/equity, and structure. This last pillar is a combination of legal, CPA, and insurance work, and helping organizations understand how to use things like leveraged 162 bonus plans is where Intuitive Compensation Group come in.
If you have employees, manage employees, or are an employee, you will be interested in these other topics discussed in this episode:
- Negative examples of employers who have tried to make their employees stay with their company (a la golden handcuffs).
- Positive examples of employers who have improved employee retention, particularly among key employees.
- How you can promote an entrepreneurial spirit among your employees, specifically key employees, within your business.
If you liked this episode of unsuitable on Rea Radio, let us know by hitting the like button or by sharing it with your followers on social media. You can also use #ReaRadio to join the conversation on Facebook and Twitter, and you can watch the podcast in action on the Rea & Associates YouTube channel. We’ve also included access to additional resources on our website at www.reacpa.com.
articles & insights
Find And Keep Top Talent In Today’s Economy – If you’re an employer, the one you should be paying attention to is the one that asks you to consider what it is you are doing to differentiate your company from the competition when it comes to attracting and retaining top talent.
Need Help Retaining Employees? – Companies need to offer more than just a salary and benefits. Retirement readiness options can actually help your business attract and retain employees. One of the main reasons employees find company retirement plans so appealing is that many don’t save for retirement outside of the workplace.
Businesses Thrive When Employees Thrive – Stop looking at your employees as line items on your budget sheet and begin to realize the true value they bring in all aspects of the business. Read on to learn how you can create a positive work environment in your own business.
A Little Appreciation Goes A Long Way – Taking the time to publicly recognize an employee’s achievements can be a rewarding experience for the person being recognized while motivating others to step it up in the hopes of being recognized in the future.
The Secrets To Developing Engaged Workers – What can you do about employee retention and how do you hire new people that will stay for the long-term?
Click here to read the official transcript for episode 172, “how to ensure your best employees stay put”
CRN202101-242650: Monaghan – Rea & Associates Podcast 172 – Ke