The future is now. PayScale’s 2017 Compensation Best Practices Report noted that a third of top-performing companies are changing their strategies to accommodate millennials. These top organizations take a proactive approach to anticipating the needs of tomorrow’s workforce today. Join Caitlin Williams and Mykkah Herner on this May the Fourth as they explore the best ways to compensate tomorrow’s workforce, now. Register for this webinar and you’ll learn about: -Ways to examine and define your workforce -The value of having a great comp strategy that fits -The impact of automated jobs

1. • Compensating the Workforce of Tomorrow
Caitlin Williams
Talent Acquisition Partner
Mykkah Herner, MA, CCP
Modern Compensation Evangelist

2. www.payscale.com #CBPR17www.payscale.com
54 Million Salary Profiles
250 Compensable Factors
15,000 Positions 6,000 Customers 2,300 Skills
Hi, We’re PayScale!

3. www.payscale.com #CBPR17www.payscale.com
Caitlin Williams
Talent Acquisition Partner
https://www.linkedin.com/in/williamscaitlin/
Mykkah Herner, MA, CCP
Modern Compensation Evangelist
https://www.linkedin.com/in/mykkahherner

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Agenda
Work trends of tomorrow
Understanding tomorrow’s workforce
Tailoring compensation to your workforce
Things to do right now

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Biggest Predicted Challenges for 2017
www.payscale.com/cbpr
Finding and growing great talent
Employee retention / engagement – retirements and millennial job-hopping
Competition from younger stage tech startups
Hiring and retaining the right employees in the face of high growth
Fierce talent competition shifting balance of power to candidates
Improving company culture and fighting attrition for newly trained employees

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Work Trends of Tomorrow

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Automating Jobs
https://www.payscale.com/compensation-today/2017/03/robots-creating-jobs

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Slashies
• Front Desk Attendant / Receptionist / Admin
• HR / Accounting
• Office Manager / HR / Payroll
• Sales / Account Management

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Gig
Economy

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Interview of Tomorrow
• Video Interviews
• Online Skills Testing
• Data Analytics
• Pay Brand
http://www.payscale.com/data/future-work-force/future-interviews

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Open Offices & Remote Work

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Understanding Tomorrow’s
Workforce

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Skills Gap
• 44% cited writing proficiency
• 39% called out public speaking
• 60% identified critical thinking/ problem solving
• 56% noted attention to detail
• 46% mentioned communication more broadly
http://www.payscale.com/data-packages/job-skills

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Five
Generations
of 2020
Gen Z
Millenials
Gen X
Baby Boomers
Traditionalists
Bureau of Labor Statistics Employment Projections

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Baby Boomers 1946 – 1964 Generation Size: 74M
Communication About Comp:
Private
Average Tenure:
15 Years
Career Mindset:
Loyal; Self-driven;
High Work Ethic
Focused on: Retirement
Generation X 1965 – 1979 Generation Size: 66M
Communication About Comp:
Semi-private
Average Tenure:
5 Years
Career Mindset:
Pessimistic; Self-reliant;
Work/Life Balance
Focused on: Management
Millennials 1980 – 1995 Generation Size: 74M
Communication About Comp:
Public
Average Tenure:
18-24 Months
Career Mindset:
Idealistic; Fairness & Flexibility;
Work/Life Integration
Focused on: Advancement
Generation Z 1996 – Present Generation Size: TBD, 69M+
Communication About Comp:
Semi-private
Average Tenure:
TBD
Career Mindset:
Realistic; Multicultural Fluency;
Technology Native
Focused on: Learning with a Purpose

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of top-performing companies plan to
change their compensation strategies to
accommodate millennials vs. 23% of
typical companies
33%
www.payscale.com/cbpr

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Workforce Characteristics
• Generation
• Life stage or lifestyle
• Income and/or class
• Urban and/or rural
• Size of organization
• Job function & skills
• Education & certification
https://www.bamboohr.com/webinars/diverse-workforce/

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Tailoring Compensation to
Your Workforce

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Mix of Pay

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Preferences by Generation
Rewards &
Recognition
Low Med High
Variable Med Low High
Base High High Med
Foundational High Med Low

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Get Creative,
But Don’t Skimp on the Cash
✓ Passes to sporting events
✓ Catered lunches for winning teams
✓ Days off after big deadlines
✓ Choice of work assignment
✓ Development opportunities
✓ Lunch with the CEO
✓ Remote work

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Millennials Care About Fairness…
…but fair doesn’t necessarily mean equal
EqualFair

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Learning & Development
#1 way of retaining top talent is providing
learning and development opportunities
(58% of respondents)
www.payscale.com/cbpr

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Career Ladders, Paths, and Other
Structures to Improve Flexibility
Rental
Coordinator
General Manager,
Rental
Rental
Coordinator
Supervisor
Rental Manager
Grade 3 Grade 5 Grade 7 Grade 12

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Connecting Pay Guidelines to Generations
Now, with much greater mobility and flexibility:
Level III
Level II
Level I
Then, with much higher tenures and pensions:

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Communication

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Drive Greater Transparency

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Know your Pay Strategy
51% of organizations pay
more for competitive jobs
Industry: Tech
Size: 10,000 EEs
Location: San Francisco
Industry: Healthcare
Size: 500 EEs
Location: Fresno

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Immediate Actions
1. Consider the business changes that will change your
workforce by 2020 or 2025; evaluate your current and
future workforce
2. Identify all the elements of your total rewards plan;
assess them for fit with current and future workforce
3. Begin developing your pay brand

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PayScale Delivers Where Other Compensation Providers Fall Short
PayScale offers modern compensation software and real-time, data driven
insights for employees and employers alike. More than 6,000 customers,
from small businesses to Fortune 500 companies, use PayScale to power pay
decisions for more than 13 million employees.
Visit our blog: www.payscale.com/compensation-today
Join our Group on LinkedIn: Compensation Today: HR Best Practices
Caitlin Williams
Talent Acquisition Partner
Mykkah Herner, MA, CCP
Modern Compensation Evangelist
www.payscale.com/cbpr