Fannie, Freddie May Need More Than Bonuses to Keep Talent
September 23, 2008
Fannie, Freddie May Need More Than Bonuses to Keep Talent
Although government officials are rushing to provide retention bonuses to keep key employees at Fannie Mae and Freddie Mac, it might not be enough.
“Companies shouldn’t underestimate the value of the total rewards package, which consists of benefits, work/life balance, and training and development,” says Jim Stoeckmann, compensation practice leader for WorldatWork. “If they cut back on those programs, it sends a message to people that they are not valued as much as they were in the past.”
Stress is the top reason that people leave their employers, according to Watson Wyatt Worldwide. And it’s likely that the 4,700 employees at Fannie Mae and 5,000 employees at Freddie Mac are feeling stress about the transition, says Jamie Hale, practice leader of workforce planning at Watson Wyatt.
“If as employers they can do anything to alleviate some of that stress by continuing to emphasize work/life balance, then that would help them retain people,” she says.