Employee Remuneration Trends in 2012

With continuing economic uncertainty and pressure on living standards, how are UK employers changing their approaches to reward?

Aon Hewitt's extensive Total Rewards database provides some of the answers

As we enter another year of economic uncertainty, reward professionals are considering some fundamental shifts in remuneration philosophy to retain their key staff without substantially increasing the total payroll cost.

Findings from the recent Aon Hewitt Total Reward Survey reveal some interesting trends:

• Base salary levels have moved consistently across all employee levels, albeit at below inflationary rates;
• With companies wary of committing to fixed cost increases, there is an increased desire to use bonuses for rewarding high performance;
• While the fundamental structure of long-term incentives remains unchanged, there is evidence of companies using non-standard performance measures such as cashflow,sales/revenue growth and operating margin;
• Employers are progressively using flexible benefits to cater to different lifestyle needs, especially given the increasing pension and healthcare costs

Aon Hewitt Total Reward Survey

Making meaningful talent and reward decisions in today's competitive environment requires a comprehensive data source.  With a reputation as definitive source for compensation information, Aon Hewitt's Total Reward Survey (TRS) provides a valuable tool to benchmark the Total Reward of your employees.

TRS provides a comprehensive approach to total reward, incorporating all aspects of the package including base salary, bonus, long-term incentives, pensions and other benefits.  The survey covers more than 300 organisations from a broad range of industry sectors.

Last updated 24 January 2012

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