 The battle to attract, engage and retain talented employees continues, and many South African organisations are turning to flexible benefits to lure candidates away from their competitors.
“Skilled workers are realising how valuable they are and are demanding more than a generic remuneration package with set benefits,” says Lindiwe Sebesho, Master Reward Specialist and Executive Committee Member at the South African Reward Association (SARA). To make flexible benefits work for them, companies have to understand the diverse needs of their employee and develop the right offering of benefits to best meet those needs. How do flexible benefits work? A good flexible benefits scheme offers employees:
However, employers may face practical constraints on the benefits offered, as well as the frequency and level of adaptability they are able to support. For example, benefits that are contractually agreed on or regulated such as retirement fund contributions and risk cover, may be legally restricted and/or have limited flexible options to ensure responsible outcomes for employees. There are also cost considerations, where a specific risk cover has been negotiated based on intended membership and a defined risk profile, thus negating the possibility of constant membership changes The scope of flexible benefits Flexible benefits may be financial, material, environmental or even emotional. So, employers should never limit themselves only to traditional cost-to-company elements when developing their programme. A tiered health insurance plan is a common alternative to traditional medical aid, allowing employees to adjust the cost of medical cover to their specific needs and/or excluding services they don’t typically use, like a gym membership. A range of leave types and flexible working arrangements might be more attractive to employees seeking work-life balance, protecting their mental health, or raising children. In-house wellness programmes, such as mental health awareness and support, or a variety of physical therapies may also be welcome for those employees who prefer preventative approaches to managing their health. However, it’s not practical to list every possible benefit and it is up to employers to use employee feedback to determine what's best for their situation and continually innovate to remain competitive. “Whatever the benefits are, the objective should be to have a comprehensive benefits programme that caters to diverse needs and employee preferences in a manner that enhances their overall well-being and job satisfaction in a responsible manner.” says Sebesho. “This helps them feel empowered and valued, driving them to greater workplace engagement and productivity.” Know your employee A successful flexible benefits programme starts with knowing what existing and potential employees want. Jumping in feet first could result in a model that falls short of expectations. So, the vital first step is to engage with staff and subject matter experts and build the scheme around their feedback on what’s valued. Research should consider factors like:
ENDS MEDIA CONTACT: Idele Prinsloo, [email protected], 082 573 9219, www.atthatpoint.co.za For more information on SARA please visit: Website: www.sara.co.za X: @SA_reward LinkedIn: South African Reward Association Facebook: SARA – South African Reward Association
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 You’ve decided it’s high time you got paid what you’re worth, and you’re about to knock on the boss’s door to ask for a raise. Before you do, take a moment to get your ducks in a row.
“Convincing your employer to increase your salary can be challenging, and many employees make avoidable mistakes that weaken their case instead of strengthening it,” says Nicol Mullins, Master Reward Specialist and Past President of the South African Reward Association (SARA). So, if you’re planning to negotiate your way to a bigger paycheck, make sure you steer clear of these five common pitfalls. Getting the timing wrong Asking for a raise just after joining the company or too soon after your last increase will probably be seen as premature or unprofessional. Salary reviews typically follow structured cycles, and approaching your manager at an inappropriate time reduces your chances of success. “For example, if your company has not performed well or budget constraints have been imposed, your request will likely fall on deaf ears,” says Lindiwe Sebesho, Master Reward Specialist and Executive Committee Member at SARA. Not demonstrating added value Many employees ask for a raise without first establishing a strong case for why they deserve one at all. Simply fulfilling job responsibilities is not enough - you need to showcase consistent, measurable achievements, contributions and reliability. “Demonstrating how your work has positively impacted the business strengthens your request, especially if your manager agrees with your evidence,” says Deon Smit, Master Reward Specialist and Executive Committee Member at SARA. Using anecdotal evidence Hinging your request on personal financial needs or comparisons with colleagues will prove fruitless. Most employers base remuneration on individual performance, trusted market benchmarks and business impact - not personal expenses, informal discussions about peer salaries, or arbitrary remuneration data gleaned from the Web. “Instead, focus on your unique contributions to the company and the value you bring to your role and responsibilities,” says Mullins. Using ineffective communication and approach Approaching the conversation with threats, ultimatums, or vague references to news articles and generalised salary data weakens your credibility. Instead, rely on your company’s remuneration policy, verified industry benchmarks and a professional, well-prepared presentation of your case. “A well-informed, positive and collaborative approach fosters a more constructive negotiation, and a greater probability of winning your raise,” says Sebesho. Failing to take responsibility for your career Employees often assume their employer is solely responsible for their career advancement, and consequently neglect their own professional development and growth. So, they miss out on opportunities for salary progression. “Proactively engaging with your manager on your skill development, performance differentiation, and career planning ensures a stronger position when requesting an increase or even a promotion,” says Smit. Revising your strategy So, to recap - poor timing, not demonstrating value, using anecdotal evidence, ineffective communication, and no career initiative are all big mistakes. Individually or in any combination, they will likely see you leaving your boss’s office no better off than before. “By avoiding these mistakes and approaching your salary negotiation strategically, you greatly enhance your chances of a successful outcome,” says Mullins. ENDS MEDIA CONTACT: Idele Prinsloo, [email protected], 082 573 9219, www.atthatpoint.co.za For more information on SARA please visit: Website: www.sara.co.za X: @SA_reward LinkedIn: South African Reward Association Facebook: SARA – South African Reward Association MultiChoice, Standard Bank and others celebrated for setting new standards in reward excellence
Achieving greater transparency, simplifying the reward processes and addressing employee needs. Projects that achieved these goals took top honors at the 2024 Annual Reward Awards ceremony, hosted by the South African Reward Association (SARA). The awards annually recognise businesses and individuals who create excellence in rewards that attract and retain employees, while also motivating them to contribute to their organisations. The two big winners on the night were MultiChoice Group Ltd, which won the SARA Project of the Year Award for their Total Reward Online Tool, and Standard Bank, which received the SARA Remuneration Report Award. The prestigious President’s Award went to Lindiwe Sebesho, with Bukelwa Molefe honored as the second-ever recipient of the Young Remuneration Professional Award. SARA Project of the Year Award This year’s Project of the Year Award recognised the impressive work of MultiChoice’s Total Reward Online Tool project, chosen from a strong pool of nominations spanning multiple industries. The project’s goal was to develop a streamlined tool to manage the annual remuneration review cycle, covering salary increases, bonuses, share allocations, and payroll submissions. The tool’s efficient, user-friendly design supports management across various levels and ensures swift, accurate approval processes. Judges praised the project for its impactful business benefits, effective project management, and ease of use, making it a well-deserved winner. In second place, Doré Burger from BMW South Africa received acclaim for her leadership in BMW’s Total Reward Statement project, a benchmark for the company’s global Total Reward Statement reporting. Joint third-place honors were awarded to RCL Foods and ABSA for their respective Penny Wise project and eKhaya Colleague Share Scheme, both of which have successfully enhanced employee financial well-being and engagement. Remuneration Report Award This award traditionally celebrates the alignment of reward reporting with the principles of the King IV governance guidelines, particularly in fair and transparent policy practices. From what the judges deemed a “very competitive pool” of eight nominations, Standard Bank earned first place with a report described as excellent in terms of readability, disclosure, and narrative clarity. “The report’s balance of detail, transparency, and stakeholder focus is impressive, setting a benchmark for excellence in remuneration reporting,” the judges agreed. Vodacom’s “clear, strategically aligned” report took second place, while Old Mutual’s “creative, visually engaging” submission also secured a spot on the podium. Young Remuneration Professional Award Bukelwa Molefe, currently serving as Compensation and OD Manager at Adapt IT, was awarded the Young Remuneration Professional Award. Bukelwa’s journey has been marked by rapid advancement and a commitment to giving back to the reward profession. She holds a BComm Honours degree in Economics and several professional designations, including the SARA Reward Specialist designation. Her leadership roles in various SARA committees reflect her dedication to advancing the profession, and her peers regard her as an inspiring and committed leader in the field. President’s Award The prestigious President’s Award was presented to Lindiwe Sebesho for her lifelong contributions to the reward industry. With an impressive career spanning several senior leadership roles and an academic background that includes an MBA and a Master Reward Specialist designation, Lindiwe has consistently championed professional standards and governance. Her contributions to SARA include terms on the Executive Committee, meaningful policy discussions and mentorship initiatives, making her a true advocate and leader in the field. ENDS MEDIA CONTACT: Idele Prinsloo, [email protected], 082 573 9219, www.atthatpoint.co.za For more information on SARA please visit: Website: www.sara.co.za X: @SA_reward LinkedIn: South African Reward Association Facebook: SARA – South African Reward Associatio  Apart from the where, when and how of employee performance management, not much has changed since the emergence of COVID-19. This is according to Lindiwe Sebesho, Master Reward Specialist and Executive Committee Member at the South African Reward Association (SARA).
"This is because the key principles in performance management remain relevant in measuring and improving employee contribution to business performance or growth," she says. Performance philosophy Many organisations have become a mix of full time on-premises, fixed-hour staff and work-from-home (WFH) employees with flexible hours. So whilst how their performance is set, monitored and evaluated may be more complex, the need to manage performance remains key for business success. Leveraging technology, most employers are optimising various digital platforms that enable real-time, simple-to-use processes to ease the management of performance across the expanded enterprise. However, performance management principles remain focused on the need to set clear performance objectives and on holding ongoing feedback and feed-forward conversations between employers, workers and teams to optimise their contribution to delivering on corporate strategy. Therefore this process still aims to foster a continuous improvement ethic that focused individuals and teams on activities that drive business growth. Its outcomes are largely still ratings based and are used to inform fair, business-aligned skills development, reward and talent decisions such as succession planning. Key principles Organisations still need to clearly communicate their purpose, growth goals, ambition and strategy within a well-defined business context. Next, they must align employee efforts through personal, team, financial and non-financial objectives and key results (OKRs) that capture essential outcomes. As staff execute their duties, regular check-in conversations and real-time feedback enable development and continuous improvement of performance. Further, regular feedback and ratings should be administered, leading to formal annual evaluations that use an established rating scale linked to desired standards of contribution. These rating outcomes are then used as input for making reward and other talent-related decisions. "Whatever the circumstances, business must not become distracted from this proven approach to performance management even where different working arrangements have been adopted," says Sebesho. Underperformance With the country's economic downturn, organisations are eager to maximise resource output wherever possible. Accordingly there is a more concerted effort towards the proactive management of underperformance among staff. "While managers may have let underperformance slide in the past, they are now more focused On ensuring that every worker contributes to growth consistently," says Sebesho. As part of managing under-performance, it is key to understand the factors that negatively impact employee performance. The first is a lack of skills that could result from an ineffective education system and/or limited investment by employers in training and development. Assigning employees to roles that do not fit their competencies can also hamper optimal performance. Organisations that invest in skilling up workers and ensure employees are equal to their responsibilities can overcome this hurdle. The second is low employee morale and engagement, which can be caused by anything from the threat of retrenchments to rewards that do not align with worker values. The best solution is for management to establish a culture of open communication and engage with staff to determine the causes of poor morale. A show of concern alone can help reignite employee interest, although employers must follow through with solutions to maintain trust. Even workers with good morale may suffer from the third factor, a lack of motivation. This can be caused by societal conditions, such as social unrest or political instability, leading to personal problems, like poor mental or physical health. Employers can offset these obstacles with a comprehensive employee value proposition, additional mental and physical wellness support, and positive reinforcement through recognition of desired behaviours. Finally, a lack of resources may prevent employees from producing their best work. Low national economic growth, employer budget cuts or inadequate infrastructure, like transport and telecoms, can rob them of opportunities to work effectively. Employers should consider budgeting for critical resources that enable better productivity, and provide alternative working arrangements, like flexible hours or work-from-home solutions where the nature of jobs allow for such. They also need to provide technical and digital skills support where required. Enhanced performance In summary, WFH and hybrid models necessitated by the pandemic have created greater flexibility in the where, how and when of employee performance but have not necessarily changed the core principles of performance management which remain largely the same and employers must apply them consistently for the best results. Employers should therefore leverage technology to develop simple, real-time processes that enable performance management across expanded enterprise boundaries and maximise their people resources by minimising underperformance. "By acknowledging these trends, employers can maximise their workforce's performance and pursue their full growth potential despite the various operational challenges they face" says Sebesho. ENDS MEDIA CONTACT: Rosa-Mari Le Roux, [email protected], 060 995 6277, www.atthatpoint.co.za For more information on SARA please visit: Website: www.sara.co.za Twitter: @SA_reward LinkedIn: South African Reward Association Facebook: SARA – South African Reward Association  Despite the changes being made to many organisation’s performance management processes, setting clear performance objectives is vital. It ensures that employees focus on work that helps them contribute optimally to both team and business success whilst growing their careers.
“If done right, goal setting is still considered key in enabling employees to start any performance period or role with an understanding of their role priorities and what success looks like,” says Lindiwe Sebesho, Executive Committee Member, South African Reward Association (SARA). “It can also direct development efforts as employees can use this as reference for refining their capabilities for the short and long term growth. Most importantly, setting effective objectives reduces the stress associated with performance reviews for those organisations that still hold these formally.” Whilst performance objectives used to be set annually at the beginning of a performance period, more organisations now encourage shorter objective setting cycles e.g. quarterly, as this helps them adjust their focus in line with changes in their environment. “It is important that employees optimise the objective setting processes in their companies to align their career goals with those of the organisation,” says Sebesho. “As goal setting discussions usually happen in teams and/or directly with an employee’s line manager, employees can use these goals to understand key business priorities and the contributions they can make. Not only should this ensure that their performance is in line with what the company expects from them, but it also enables them to work proactively towards a common result which benefits all.” Clear performance objectives are imperative There are various ways in which organisations guide the development of objectives to ensure that they are output focused and drive valued results. The most common of these is the CSMART principle: Challenging, Specific, Measurable, Attainable, Realistic and Timely. Using this guide, employees can ensure that their objectives are clearly defined and can be used to indicate intent and substantiate achievements. Sebesho says this is particularly important as many organisations use performance outputs to determine different reward elements. “Salaries, bonuses and incentives are usually tied to the level of achievement against stretched performance objectives and targets. So, to set yourself up for success, not only for reward purposes, but in terms of career progression, it is important to be clear about the contribution you have to make and the standards against which your performance will be assessed. Setting effective objectives is therefore a key part of owning your success as an employee.” ENDS MEDIA CONTACT: Cathlen Fourie, 082 222 9198, [email protected], www.atthatpoint.co.za For more information on SARA please visit: Website: www.sara.co.za Twitter: @SA_reward LinkedIn: South African Reward Association Facebook: SARA – South African Reward Association  The world of work is shifting its focus from the organisation to the individual. Those organisations that keep their talent are those that pay as much attention to the employee value proposition as they do to their customer value propositions. They recognise that empowering, guiding and nurturing their employees enables them to improve productivity and performance.
“In the past, engagement with the employee was usually on the enterprise’s terms. Today that dynamic has fundamentally changed and it is the talented employee who is increasingly gaining control of their career and who they may want to work for,” says Lindiwe Sebesho, South African Reward Association (SARA) President. “If organisations want to acquire, engage and retain employees with the skills they need to succeed, they have to create more flexible and empowering people practices that encourage employees to take charge of their own productivity and career growth.” Marie-Claire Mclachlan, SARA Executive Committee Member, adds: “Lifelong employment following an organisation’s predetermined career path is long gone. A manager is no longer the only person who drives the career of those who work for them. Now, employees are making the choices and they have the power to choose which organisation they want to work for (or with) based on the best opportunities and pathways to growth on offer.” The employee thus determines the course of their career and can walk away from the manager and business that doesn’t recognise or support their unique needs. Organisations can benefit from this change by relinquishing control-focused practices and making the tools employees need to make informed decisions about their performance, development and growth easily available. Addressing the challenges The biggest challenge in today’s labour market is not only a lack of job opportunities but there is a critical lack of the skills and experience that most organisations require for sustainable success. This is not exclusive to South Africa, a country with marked unemployment issues. Battling to find people with the right skill sets is a global phenomenon. “If your business is not paying attention to the unique needs of employees who have the limited skill sets your business needs, you won’t attract, retain and engage the best talent,” says Sebesho. The organisation that wants to fill critical positions and hold on to its top performing talent has to appreciate each and every employee as an individual and provide effective solutions for their engagement and growth.” Reward professionals can play an important role in an organisation’s efforts to empower its talent. “Developing and implementing flexible reward offerings that include current and future focused development, recognition for great achievements and flexible work arrangements that fit the unique profile and personality of different employees is important,” says Sebesho. “This means reward practices and career paths should be designed to empower employees through choice and variety whilst being compliant with the different labour regulations that apply. Communicating these options and delivering on the promised employee value proposition is critical in ensuring that this value is experienced and optimised to drive employee engagement and productivity.” ENDS MEDIA CONTACT: Cathlen Fourie, 012 644 2833, [email protected], www.atthatpoint.co.za For more information on SARA please visit: Website: www.sara.co.za Twitter: @SA_reward LinkedIn: South African Reward Association Facebook: SARA – South African Reward Association Top organisations are improving employee performance practices |
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