Dive Brief:
- Deloitte is investing more than $1 billion in compensation and benefits in an effort to better support employees, the company announced in mid-December. Among other things, the expanded package includes $500 work-from-home technology subsidies.
- As a part of the investment, many Deloitte professionals will receive a salary increase that surpasses the normal annual boost, the company said, explaining that it conducted a compensation market analysis halfway through its annual compensation cycle.
- The investment includes additional benefits such as a $1,000 well-being subsidy and 15 paid holidays in 2022.
Dive Insight:
Many companies announced higher wages as the pandemic strained workers. But most of those announcements came from national brands employing large swaths of hourly workers.
For example: Target set a $15 hourly starting wage in June 2020. The following February, Walmart handed out raises that brought its average pay to $15 an hour. Costco raised its starting wage to $16 an hour this past March.
Employers with salaried workforces have made far fewer announcements heralding pay raises. Instead, many highlighted increased benefits, with updates focusing on paid leave, flexible work, child care stipends and mental health programs.
Deloitte's announcement includes news about compensation and benefits, however, and could signal a growing willingness to use compensation as a recruitment and retention tool in a competitive labor market.
