With the war over talent set to intensify long into the new year, companies are battling to position themselves as an employer of choice.
Retail Industry Superannuation fund, Rest, recently interviewed a group of new members – primarily aged in the 18–20 year bracket – to learn more about their experiences and expectations when joining a company.
“We think these insights could be a useful reference point for employers when it comes to onboarding and learning and development programs, particularly for younger workers where engagement can be a challenge,” a Rest representative told Inside Retail.
Here’s a snapshot of Rest’s findings…
First impressions count
The first impression a new employee gets about a company is through its onboarding process. Getting it right validates a new starter’s decision to join while getting it wrong puts at risk the time and money invested in bringing the talent on board.
Financial literacy of younger workers
Securing their first job is often a financial ‘rite of passage’ for young adults and an opportunity to become financially independent from their parents. With this freedom comes new financial responsibilities such as paying rent, buying a car or funding their study.
Given most young workers have limited cash flow, money management and budgeting are the topics they are most interested in. Rest’s research shows they would like to learn more about:
- How to manage their earnings.
- Good ways to save.
- How to make sure they don’t overspend.
- Ways to make their money work harder.
- How to save for a house.
What employees expect from employers during onboarding
Young workers will often turn to their employers for advice on super – particularly those employees in their first job or international students from countries where superannuation does not exist. At the very least, they would like to know:
- The name of the fund they have joined.
- How super works and who pays it.
- How much the contributions are and how to see this on their payslip.
- Where to find more information on their fund and the superannuation system.
Many working Australians aspire to join companies whose corporate values align with their own. This opens an opportunity for employers to help employees to contribute positively to the planet and the larger global community through their superannuation investment options.
From salary sacrifice to financial education programs, employers can create an environment that will make their company appeal to potential employees as well as support existing staff.
Recognising employee super as a valuable resource that already exists within their own workforces can help employers position themselves well ahead of their competition.
Rewards young workers care about
Rest’s research shows an overwhelming preference for simplicity and ease of use with rewards programs. Young workers generally want to claim rewards without having to sign up for anything or be hit with a minimum spend requirement.
There is a strong preference among employees to be able to use rewards for everyday spending – such as on groceries – rather than on purchasing luxury items. The dollar value does not need to be high for the reward to be appealing. Rest’s research showed that even $5 was seen as an incentive.
To discover more of the research findings, such as young workers’ preferred style of communication, read Rest’s report here.
* The insights and findings contained in this article are based on research undertaken in April 2021 by Rest in partnership with research and insights company Kantar. The research interviewed 30 members from across Australia who had joined Rest in the preceding three months, the majority of whom were in the 18-20-year-old age group. This information is current as of August 2021. Neither Rest nor Kantor accepts any liability arising directly or indirectly from any use and/or reliance on the information contained in this article and disclaim all liability to the maximum extent permitted by law.
This information has been prepared without taking account of your objectives, financial situation or needs. Before acting on the information or deciding whether to acquire or hold a product, consider its appropriateness and the relevant PDS and Target Market Determination which are available at rest.com.au. Issued by Retail Employees Superannuation Pty Limited ABN 39 001 987 739, AFSL 240003 (Rest), trustee of Retail Employees Superannuation Trust ABN 62 653 671 394 (Fund).
The cost of providing financial services is included in the fees as disclosed in the relevant PDS. Rest and the Fund do not charge additional fees or obtain commissions for the advice provided. Rest employees are paid a salary and do not receive commissions. They may receive a performance-related bonus that takes into account the financial services provided. Super Investment Management Pty Limited, a wholly-owned company of Rest, manages some of the Fund’s investments. Rest has no other relationships or associations with any related body corporate or product issuer that might reasonably be expected to influence Rest in providing financial services. For more information, contact us at rest.com.au/contact-us.