Every commercial bank wants what the same thing: top talent committed to the organization’s success. In short, commercial banks want to retain the best in the business. They must retain this top talent if they are to succeed.
What’s the best way to ensure you retain your top talent? Pay them as much as possible.
According to Mark Heinemann, president and chief financial officer of $169 million-asset Farmers State Bank of Hartland in Albert Lea, Minn., “The best people perform even better when you pay them a higher salary. They are internally motivated and feel they need to justify their worth to the organization and themselves.”
The type of talent commercial banks want to retain
Retaining top talent is crucial to commercial banks, so who is this talent? They are the employees who made it past the pandemic and learned to prioritize a healthy work-life balance. They are employees who:
- Can flex and be adaptable
- Accept and appreciate coaching
- Are willing to provide honest and constructive feedback
- Bring passion to the position and are excited about the work
- Learn eagerly
- Want to grow with the commercial bank that employs them
What your commercial bank must do now
If you haven’t already done so, you can restructure your incentive plans. Commercial banks are already seeing changes in incentive plans as they try to hold on to rain-makers in their company:
- Make your corporate culture a living, attractive system.
- Create a deferred compensation plan that pays out five or more years away.
- Commit to making powerful compensation package offers.
- Offer attractive packages that include financial incentives: 401k contributions, student loan assistance and bonuses.
- Chart clear career paths and provide the professional development necessary to attain these goals.
- Incentivize with opportunities to invest in corporate equity, when possible.
If you’re willing to craft incentives as unique as your commercial bank and the community it serves, you’ll retain the top talent you need.
3.9 million people resigned per month during 2021. Don’t count on the resignation trend abating in 2022. In February 2022, 4.4 million workers resigned, and there’s no indication that more won’t resign.
The ongoing Great Resignation has made employee retention the number one priority in commercial banking. Is your bank prepared?
Finding People Who Make a Difference®. Sanford Rose Associates® understands the need to find the people who will “make a difference.” Our goal is to match human capital needs with highly qualified individuals as quickly and efficiently as possible, with the end goal of enhancing the client’s organizational capability.