Money is important, but it isn’t everything according to new data.
In HR Dive’s 2023 Identity of HR survey, nearly half of its respondents said retirement contributions and benefits are a huge part of their talent acquisition approach.
“Those financial stresses can cause employees to dip into savings that otherwise they might have dedicated for some different purposes,” Edward Gottfried, Betterment at Work’s director of product management, said. “And retirement is the first place that most people are saving for anything medium- or long-term.”
Inflation has forced many to take a harder look at their financial situation as living costs continue to increase.
As ESSENCE previously reported, experts are saying you need to have at least $5,200 more on hand to keep up. In 2020 the Bureau of Labor Statistics said the average spending on food at home was $4,942 annually or about $412 per month for U.S. households.
As HR Dive pointed out, Betterment at Work’s 2022 report cited that 43% of respondents said they had dipped into their emergency funds during the pandemic.
“Talent acquisition can be a moving target, especially in today’s economic climate,” said HR Dive. “And yet, for the second year in a row, HR Dive readers have named hiring as a top priority. It should come as no surprise that money continues to be top of mind for talent, but it’s not just money on workers’ minds: It’s a total rewards package. Human resources professionals say they are responding accordingly: Retirement benefits saw the highest year-over-year uptick, too; only 35% cited this tactic as a tenet of recruiting strategy in 2022.”