1. Talent Management:
Driver to Organization Success
TOTAL REWARDS TOWARDS AN ENGAGED
WORKFORCE:
"MAXIMIZING THE RETURNS"
Using Benefits as a
Using Benefits as a
Differentiator
Differentiator
Girinarayana Girinarayanan.g@ge.com
g.girinarayan@gmail.com
n
15 Feb 2013
3. The facts and Challenges for India
The facts and Challenges for India
The work-force in the country stands close to 400 million
Only 35 Million are covered under the Social Security
Unorganized Sector contributes > 60% of the national income
Unemployment and insecure employment
Very low minimum wages
Wide spread poverty and deprivation
“According to international statistics, over 300 million
people in India live in extreme poverty on less than US
$1 a day, and over 500 million on less than US$2 a day.
Only half of the population has access to piped water,
and most health services (in fact about 92%) are paid for
out of pocket, making India’s health system the biggest
private health service in the world”
4. India’s Economic Growth !!!
India’s Economic Growth !!!
“India’s economy is projected to grow 5% in the current
fiscal year, the lowest in a decade and substantially lower
than the 5.7% projected earlier by the finance ministry”
Economy is estimated at $1.89 trillion (around Rs.100
trillion), would see growth decelerating by almost half from
9.6% in 2006-07
The Central Statistics Office (CSO) revealed that the
economic growth of India is estimated to fall to 5 percent in
2012-2013 financial year, which is a lowest figure in 10
years.
5. 2008 Recession: A flashback
2008 Recession: A flashback
Big turmoil in the global economy
Economic crisis reduced GDP Growth &
stagnated revenue growth
Auto industries witnessed mayhem, Realty
collapsed, Banks landed up in soup because of
default in loan payments.
Restructuring exercise from Corporates to make
lean organization and reduce manpower cost
Some Corporates implemented heavy cost
cutting measures thro - Salary cuts, layoff,
closing down business etc.
Bottom line
Bottom line
Fear of unknown
Job loss / Salary cuts for employees
Heavy stress to manage the crisis
Falling ill-health
Strain in family relationship
Social pressure
Hampered the living style
Default in the loan payment
7. It helps employees to :
Manage uncertainty
Provide Financial Security for future
Pay attention to Healthcare
Be able to manage and live happily post
retirement
Bottom-line:
Bottom-line:
An opportunity to improve value, control costs and
An opportunity to improve value, control costs and
drive Business Goals
drive Business Goals
8. Benefit Programs in India
Benefit Programs in India
Major Drivers
Changing Income Tax rules
Viewing compensation as a CTC
Changing employees expectations
Salary increases will continue to have spiralling growth
Market value for the job may diminish
Differentiation in salary – pay for role and contribution
Variation in Salary revision cycle
10. Changing Trends…..
Changing Trends…..
“ Company needs to understand that every employee has
unique benefit needs and therefore they need to create a
culture of wellbeing”
Benefits play an important role in choice of an employer
and helps the employee to live a healthy and balanced life”
Way Forward…..More focus on flexi benefits…..
Way Forward…..More focus on flexi benefits…..
Healthand Wellness to meet individual need
Health and Wellness to meet individual need
Focuson family support
Focus on family support
Financialassistance thro stock purchase
Financial assistance thro stock purchase
Supportto CSR --Charitable institutions //Educational institutes
Support to CSR Charitable institutions Educational institutes
Changein Leave management system
Change in Leave management system
Sabbaticals– focus on Learning & Development
Sabbaticals – focus on Learning & Development
Statutorybenefits can be made mandatory… Removal of PF
Statutory benefits can be made mandatory… Removal of PF
Ceiling, effective implementation of Employee Compensation Act
Ceiling, effective implementation of Employee Compensation Act
etc.
etc.
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13. Attracting Talent
Attracting Talent
Base Benefits
Base Benefits
Comprehensive Insurance
Comprehensive Insurance
Vacation
Vacation
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Time off
Tax benefits
Tax benefits
Car Schemes
Car Schemes
Long term Service rewards
Long term Service rewards Club Membership
Club Membership
Retention Bonus
Retention Bonus Benefits:
Benefits: Corporate Cards
Corporate Cards
Superannuation
Superannuation
Health and wellness
Health and wellness
Employee
Employee Perks
Perks
CSR
CSR
ESOPs
ESOPs Value Proposition
Value Proposition
Rewards
Rewards
Paid Training / /Sabbaticals
Paid Training Sabbaticals
Education Assistance
Education Assistance
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Global Exposure
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Employee of the Year
Employee of the Year