This was according to Lattice’s annual State of People Strategy report, which surveyed over 800 HR leaders from companies around the world between July 20 and August 25, 2022.
In addition, companies with a 90% remote workforce reported being just as happy with manager-employee facetime as those with a 10% remote workforce. Of those with facetime concerns, engagement and culture, not productivity, emerged as the primary challenge.
The survey also showed that though 83% of HR professionals believe compensation should be linked to performance, 72% acknowledged they could improve efforts to link the two in employee evaluations, and 27% admitted they need to do a lot more.
There is also a correlation between compensation and performance as two-thirds of companies who reported a good or great connection between performance and compensation had more engaged workforces, while only 11% of companies with a weak or no comp-performance connection said the same.
In addition, HR leaders acknowledge the low levels of compensation transparency, with 54% reporting that pay bands are known only by finance and HR. About 25% of employees know the pay band for their job level, while only 9% have access to the pay band for the next level up.
This article was first published on HRM Asia.