Evaluation of remuneration preferences of knowledge workers

Abstract

ORIENTATION : This research evaluates the remuneration preferences of knowledge workers as a retention strategy in an integrated international energy and chemical company, using the WorldatWork Total Rewards Model. RESEARCH PURPOSE : Organisations may benefit from understanding their employees’ preferential remuneration benefits, in particular, knowledge workers as a scare skill requiring specific retention strategies. MOTIVATION FOR THE STUDY : To understand the remuneration preferences for the retention of a group of knowledge workers within a large organisation based in South Africa. The research is necessary within organisations in South Africa impacted by scarce skills and a need to attract and retain knowledge workers. If remuneration preferences are not considered as part of retention, there is a risk knowledge workers may leave for preferential opportunities. RESEARCH APPROACH/DESIGN AND METHOD : A total of 199 employees from a group of 1229 voluntarily participated in the survey. An electronic-based questionnaire was developed from the WorldatWork rewards model. The results from the surveys were analysed with descriptive statistics and inferential statistics. MAIN FINDINGS : No significance in reward strategies was found for age, level of performance or number of years of service. There was also no significant difference between the knowledge workers number of years of service and their intention to remain with the organisation. There was a significance in gender for benefits, flexibility and performance development preferences. PRACTICAL/MANAGERIAL IMPLICATIONS : The development of retention strategies should consider reward preferences of male and female employees.