Staying competitive and remaining attractive to new talent is a vital component of running a successful organisation.
One way of doing this is by managing and creating an inspiring EVP.
But what does EVP stand for and how can organisations embrace it to ensure they pull in the best new people, make sure current employees are happy, engaged and loyal, and ultimately futureproof their business?
In short, EVP is a company’s employee value proposition. In this article, we look at the longer answer – what makes a successful EVP, why it is so important and how your organisation can embody its EVP to ensure authenticity.
What is an employee value proposition (EVP)?
The question of what is an employee value proposition is one every organisation should be asking.
An EVP is essentially what an organisation stands for, requires and offers an employee. It represents a business’ mission statement and serves as a reminder of its values and goals.
An organisation’s EVP informs employees – and candidates – about what they can expect if they work for them, and importantly how and why that is different to working elsewhere.
A strong EVP often holds far more value for employees than just a salary. It can do wonders for a company’s employer brand, demonstrating its dedication to the workforce and providing a good environment to work in.
The best employee value propositions will state what a business is, what it can offer and what its values are. By being transparent in this way, organisations will get a workforce that feels valued and enjoys the work it does. Employees will be proud to work for an organisation with a strong EVP, and will be more productive, innovative and loyal.
Companies without an EVP or with a weak EVP will risk failing to meet hiring goals and face increased recruitment costs, a low level of retention, a reduction in service and capability, and the loss of talented people.
Ultimately, this will result in having to offer higher salaries to compensate for low morale and the potential loss of customers due to poor performance.
What is the difference between good and bad EVP?
A strong employee value proposition is vital for a business to develop and grow. A good EVP will:
Boost brand awareness – distinguishes an organisation from its competitors.
Improve attraction – indicates an organisation is a great place to work and attracts candidates who support its brand and values.
Bolster greater retention – engages existing employees and creates an exciting place to work, encouraging people to stay and grow.
Increase productivity – a happier, more engaged workforce working at a company which attracts and retains the best talent will see these benefits reflected in its bottom line.
A strong EVP will be authentic, and the promises made by company leaders will be carried through, be it a pledge to create a diverse workforce or promises to offer the latest training.
Conversely, a company which goes back on its promises, or is inauthentic, will find that its reputation suffers, it is not attractive to prospective employees, and those already there will be heading for the door as quickly as they can. Ultimately, a revolving door is the number one sign that a business is getting its EVP wrong.
The absence of an EVP can be just as detrimental as a poor one. A strong EVP will save an organisation money, improve recruitment, and prevent brain drain – neglecting the idea completely means an organisation misses out on these benefits.
Employee value proposition examples
Here are some EVP examples where companies have put a strong proposition in place:
Hubspot – featuring unlimited holiday, fully remote work, sabbaticals and parental leave, Hubspot’s EVP revolves around its ‘Your best work starts here’ tagline, with a promise to help its people “be the best ‘you’ can be”.
Strava – centred on keeping its employees as fit as the runners, cyclists and walkers who love the product, Strava fills its office kitchens with healthy snacks and meals.
LinkedIn – offering a diverse range of benefits across areas including health, fashion, passion and must-haves, LinkedIn’s EVP covers everything from childcare and eldercare to education.
Google – with its ‘Don’t be evil’ mantra encapsulated within its corporate code of conduct, Google's EVP states, ‘if you’re seeking colleagues who are big thinkers to take on fresh challenges as a team, then you’re a future Googler’.
Airbnb – combining travel-friendly benefits, such as paid volunteer time, and a mission to ‘Create a world where anyone can belong anywhere’, Airbnb champions inclusivity and innovation as part of its EVP.
PwC – offering benefits that demonstrate a commitment to employee wellness, including a Student Loan Paydown programme, PwC aims to focus on each employee’s impact.
Nike – being ‘part of the family’ is central to Nike’s EVP, with one key selling point being its fitness centre and a motto to ‘inspire goodness inside and outside work’.
Starbucks – boasting an EVP that unequivocally states employees will work for a ‘different kind of company’, Starbucks offers generous rewards and benefits such as in-store discounts and free access to Spotify.
Netflix – from encouraging employees to make independent decisions to aiming to be ‘extraordinarily candid’, Netflix’s EVP says the company culture prioritises ‘people over processes’.
Hilton – focusing on big, unique culture initiatives such as allowing employees to travel through its discounted Go Hilton Travel Programmes, Hilton also offers a powerful development scheme to help employees progress in their careers.
Embodying your brand’s employee value proposition
In many ways, defining a company EVP is the easy part. The real work comes in embedding it within your organisation. It is important to shout about your EVP both internally and externally, and to make it an integral part of everything you do. This process should include:
Staff surveys: Carry out surveys and speak to employees, listening to what they really say.
Benefits: The rewards and benefits offered, alongside training and professional opportunities, are essential to creating a robust EVP that will resonate throughout your organisation.
Put it front and centre: Once you have created a strong EVP, let everyone know about it. Employees are your advocates, so they need to be aware of your EVP and what makes it so good.
Internal communications: Use intranet posts and message boards to ensure your EVP shines through in everything you are telling staff. The message you tell internally must match what you say to the outside world.
Share your successes: Let everyone know what you’re doing and why it is so good to be a part of it. Give employees the tools to shout about your EVP too by using social media assets or testimonials.
Candidate attraction: Your EVP should feature prominently on recruitment materials and in job adverts. Highlight why your company is special, whether that be flexible working or great rewards.
To learn more about how to create the perfect employee value proposition, download our guide ‘How to create an EVP that resonates’.
