Employee Value Proposition

Create a strong EVP to attract and retain critical talent

Employee Value Proposition Insights

Progressive organizations are shifting from an employee-centered value proposition to a human-centered value proposition that treats employees as people, not workers. 

Progress in any area of the human deal can provide benefits that include a 28% increase in employees who are likely to recommend the org by delivering deeper connections. 

Download our CHRO Guide to learn how to improve the lives of your employees while simultaneously improving business outcomes like company performance and reputation.

Download the Employee Value Proposition Guide

Key actions to humanize your employee value proposition

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    Present an authentic, differentiated employee value proposition

    When you invest in developing and delivering a strong EVP, you can attract significant talent and boost employee engagement. For example, your organization can reduce the compensation premium by 50% and reach 50% deeper into the labor market when candidates view an EVP as attractive.

    Organizations that effectively deliver on their EVP can decrease annual employee turnover by just under 70% and increase new hire commitment by nearly 30%.

    Organizations that effectively deliver on their EVP can decrease annual employee turnover by 69 percent.

    Insights to Help Revamp your Employee Value Proposition

    Gartner Ignition Guides, in tandem with advisory services, can help you define a differentiated EVP by prioritizing EVP investments that are simple and clear. 

    Understand Employee Value Proposition Preferences

    Each quarter, Gartner surveys over 40,000 employee in 40 countries and regions to get the most authoritative look at the latest global and country-level trends so HR leaders know what attracts, engages and retains talent.

    Design Your Employee Value Proposition

    Gather and summarize information from important sources like the labor market and talent competitors to inform your EVP design with guidance from this EVP design template.

    Segment EVP Messages for Critical Talent

    Heads of HR are now expected to devise workforce strategies that facilitate execution of business strategies. We showcase how DSM, a health sciences company, worked with the procurement business to create a segment-specific EVP to attract talent.

    Align EVP and Employment Brand

    Gartner can help you plan and align your EVP and employment branding communications around prioritized attributes and messages for critical talent segments.

    Questions about becoming a Gartner client?

    Gartner Employee Value Proposition Case Studies

    How do we help recruit for talent?

    Hai Harari, Director of Talent Intelligence Analytics at Intel, discusses how TalentNeuron™ helped him identify what talent his organization needed to address its “big bets,” as well as where to find that talent.  

    Find out more about how TalentNeuron™ can help at your organization.  

    We knew we needed to get more competitive with our employee base to remain relevant in the market.

    Kim Nowell

    Chief People Officer, Ingram Barge

    Gartner ReimagineHR Conference

    Join your peer CHROs and HR leaders from leading organizations to discuss specific HR challenges and learn about top HR trends, insights and priorities.

    Employee value proposition questions Gartner can help answer

    An employee value proposition (EVP) is the set of attributes that the labor market and current employees perceive as the value they gain through employment with the organization. Gartner research identifies five major EVP categories: Rewards, opportunity, organization, people and work. These five categories contain 38 attributes employees weigh when evaluating their current or prospective employment with an organization. Understanding how employees and candidates perceive these attributes enables HR leaders to diagnose the EVP’s strengths and weaknesses.

    Employer brand is the efforts undertaken by employers to manage labor market perceptions of them, while employment brand is the perceptions the labor market has about an organization as an employer.

    Gartner has several case studies and employee value proposition examples available to clients, including:

    • Instead of communicating “one size fits all” messaging, Company A engages employees who most resemble its target talent in creating segment-generated EVPs to appeal to candidates like them.
    • To create an authentic EVP, Company B aligns its talent branding and employee experience with its mission.
    • Instead of updating all aspects of its EVP at once, Company C takes an agile approach by identifying rewards it can adapt quickly to create a relevant EVP for the organization and employees.

    Organizations that fail to deliver a strong EVP struggle to attract critical talent. In fact, 65% of candidates have discontinued a hiring process due to an unattractive EVP. 

    A well-designed EVP can reduce hiring costs and increase new talent retention at your organization. More specifically, an EVP that is attractive to labor markets and employees:

    • Reduces the compensation premium needed to hire by 50%
    • Reaches 50% deeper into labor markets to attract passive candidates
    • Decreases annual employee turnover by 69%
    • Increases new hire commitment by 29%

    Gartner research also finds that, beyond attracting talent, organizations delivering a strong EVP also achieve better employee outcomes, including higher discretionary effort, intent to stay and performance.

    An effective employee value proposition (EVP) management strategy should have:

    • Appeal — Aligns with labor market preferences
    • Authenticity — Aligns with true company strengths
    • Relevance — Aligns with organizational strategy
    • Differentiation — Sets the organization apart from competitors

    HR leaders can use these principles to adapt the EVP strategy to shifting business priorities.

    To ensure the organization’s EVP is appealing, HR leaders should ask questions such as:

    • Which EVP attributes are most important to critical talent groups?
    • Which experiences do employees express dissatisfaction with-in engagement surveys and exit surveys? How can we enhance these experiences?
    • Do we highlight critical talent’s most important experiences in our employment brand messaging?

    To ensure the organization’s EVP is authentic, HR should ask questions such as:

    • Does the EVP align with our company values?
    • Does the delivered experience enable employees to live our company values?
    • Do the experiences included in employment branding reflect our company values?

    To create a differentiated EVP, HR leaders must bolster the organization’s competitive advantages. To do this, HR leaders should benchmark the organization’s EVP against competitors to determine its relative strengths and weaknesses. For example, HR can evaluate top competitors’ online reviews to diagnose the attributes that enhance or detract from each company’s EVP. After determining the organization’s relative EVP strengths and weaknesses, HR leaders can build a differentiated EVP that stands out from its competitors’.

    HR leaders can use insights from the labor market and within the organization to identify the EVP attributes candidates and employees care most about. They can then use this information to craft and deliver a compelling EVP that both attracts and retains talent. As HR leaders think about applying labor market insights, they should consider the attributes employees cite as most important to them when accepting a job, or, in other words, employees’ drivers of attraction. Employees cited compensation, work-life balance and stability as their most valued EVP attributes in 2019. 

    Win the support needed to bring the EVP to life by encouraging employees to co-own the EVP:

    1. Teach employees about the organization’s EVP. Present a concise, memorable summary of your EVP, demonstrating alignment between your EVP, organization and people strategies.
    2. Define employee behaviors that align to the EVP. Outline the behaviors and their corresponding actions that are critical to delivering on the EVP and that you expect all employees to live by.
    3. Give employees ongoing opportunities to reinforce, advocate and provide feedback on the EVP. Actively involve employees in promoting the EVP and delivering it to their peers inside and outside the organization.
    4. Plan an employer brand messaging strategy. Ensure your internal EVP communications are translated and broadcast to the external labor market through an influential employer brand that is tailored to key talent segments.

    To monitor how effectively your employee value proposition (EVP) meets objectives, and determine when and how it should be refreshed:

    • Gather feedback from stakeholders and participants.
    • Assess the effectiveness of the program creation process.
    • Ensure the EVP design is clear enough for effective EVP delivery planning.
    • Track your EVP’s effectiveness through employee feedback.
    • Track progress against objectives using preestablished EVP success metrics.

    Employment branding for influence, rather than broad appeal, can result in an increase of 54% in quality of applicant pool, 22% in quality of shortlist and 9% in quality of hire. 

    Gartner’s 170+ HR experts are trusted advisors for over 4,000 senior HR leaders.

    Our experts can equip you with labor market data, HR function benchmarks, and relevant best practices and tools that accelerate speed to execution and ensure decision quality.