How to recruit and retain the best talent for your business

Today, business owners face challenges in balancing people, cash flow, and culture. Now, it’s more important than ever to know how to attract and keep talented people in a crowded marketplace.

Ryan White discusses key considerations for a successful, tax-efficient, recruitment and retention strategy.

Workplace priorities have shifted post-pandemic. There’s now a greater demand for employer flexibility and work-life balance. A new generation has entered the workforce too, making it essential to keep your finger on the pulse when it comes to employee priorities. It’s no longer as simple as a job description and salary offering.

To attract and retain the best, you’ll need to consider your offering. In tough economic times this can really count. From share schemes to benefits in kind, the benefits you offer can be a tax-efficient solution to setting your business apart from others.

What are people prioritising?

Keeping up with the labour market is essential. A Deloitte survey found that only 20 percent of Millennials and Gen Z felt good about their social impact at work and only 16 percent about sustainability. There is also a demand for better work-life balance, whilst ongoing economic difficulties are still looming large.

1. How can you create a better work-life balance?

DocuSign revealed that four out of five UK businesses believe that offering flexible working is essential to attracting and retaining talent. Tailoring to your employee’s needs certainly shows a people-first mentality, but this is the new normal- not a work perk.

Can technology help your workload? 72 percent of people surveyed by Glassdoor said that they have experienced burnout. Could advancements in technology help? AI could offer a solution.

What AI means for skilled jobs is still a point of apprehension. This presents you with an opportunity to guide employees through the changes. And when it comes to any changes, a greater uptake in strategic roles could be the way forward. Read about how AI could help your business here.

And when it comes to your USP, consider offering something a bit different. How about unlimited holidays? This is something we’re seeing some businesses offer. Seemingly far-fetched, yet this could instil a level of trust in team members.

A more viable option could be a four-day working week. This has been trialled by companies across the UK, with a reported 57% increase in retention.

2. How can you align to your employee’s values?

Deloitte found that younger employees are more likely to think social values are more important than money. Consider what’s going on in the world and your local community. How can you empower your employees to address ongoing social and environmental issues?

This shouldn’t be a tokenistic. Working towards organisational accolades such as B-Corp could provide the structure you need whilst emphasising your commitment to environmental issues. More can be found on this here.

Do you have clear EDI policies and vision? Creating opportunities for your employees to champion these important issues will increase engagement and promote a strong people culture.

3. Is your employee remuneration up to scratch?

The last few years have been tumultuous, as the rising costs have put pressure on our cost of living as well as business costs. Some businesses have had to pull projects, make substantial cutbacks, and put pay rises on the back burner. But when it comes to recruiting and retaining talent, sometimes the reality means investing in your people and ensuring your remuneration packages are competitive.

4. Is it time to review your benefits in kind?

A benefit in kind is a perk given by yourself to your employees that is unrelated to the business or their job.

Whether it’s company cars, travel allowances, childcare vouchers or private health insurance, they can be a smart way to incentivise your workforce. Some businesses we work with offer their teams more than 40 different benefits.

Some benefits are liable for tax whilst other may not be. You could benefit from offering your employees tax-free benefits such as childcare vouchers, small gifts and health offerings such as eye tests.

5. How can employee shares help retain talent?

Share schemes offer employees a stake in the business in a bid to boost motivation, recruitment and retention. They also hold tax benefits for you and your business too- making them a win-win for your strategy.
Employee Ownership Trusts (EOTs) should be considered. This is a special type of benefit trust that is placed above your company. When you sell your controlling stake to the EOT, you’ll benefit from a complete saving on CGT.

Employees under an EOT can receive a tax-free bonus of £3,600 annually, boosting motivation and output. Not only this, your employees will be more central to your business, aligning values and interests and solidifying your culture.

6. Are you investing in your team’s future?

There's a wide range of funding available across different sectors. So, if your cash flow is tight, this could be one to consider what’s on offer. Keep up to date with the Government and local authority websites to see where you might be eligible for extra support.

With extra funding you could upskill your workforce, increasing both employee commitment and productivity. Consider talent development programs, management and leadership courses, and opportunities for our employees to build skills outside of their day-to-day roles.

Supporting you with recruitment and retention

Recruiting and retaining the best talent is a challenge business owners across the whole UK are facing at the moment. And it can feel hard to find the right balance between putting your people first and still prioritising your cash flow. That’s where knowing how you can be more efficient and working with an advisor can really help.

They will be able to draw upon their knowledge from businesses working in similar sectors and offer pragmatic and objective advice.

Speak to our team of experts for further advice and guidance.