Overall financial performance

Companies are cautiously optimistic about 2014, with 72 percent expecting their financial situation to improve (up from 66 percent in 2013).
Only 5 percent are expecting it to weaken (down from 7 percent in 2013).
Small companies are the most optimistic about their future financial performance (75 percent of respondents).
Medium companies are next, with a 72 percent confidence response.
Just two-thirds of large companies expressed optimism about the coming year.
The information, media and telecommunications industry is the most optimistic among major industries, with 84 percent of companies in this industry anticipating improved financial performance.

Hiring and compensation

Hiring is up over recent years with 54 percent of companies reporting plans to continue expanding in 2014.
Raises are in the budget for 2014 at 88 percent of responding companies (compared to 83 percent awarding salary increases in 2013).
The average raise will be 4.5 percent.

Retention

Employee retention is either a high or top concern for 57 percent of companies, up considerably in the five years PayScale has done this study.
Most concerned about retention were those in the Information, media and telecommunications industry, with a 70 percent "high or top concern" response.
Companies plan to recruit and retain high-performing employees with merit-based pay plans and additional learning and development opportunities. But they are unsure of what sort of packages will keep top performers from testing the job market.

The lack of innovative retention strategic thinking demonstrated here underscores PayScale's conclusion that companies may be battling a raging inferno with a garden hose.

Instant Insights /

Hiring, retention top of mind this year

More From HR Executive

Related Stories

Recommended For You