Initially, we discussed how your company can improve its ability to attract skilled IT developers and provided valuable tips and advice on how your organization can enhance in this regard. Then we delved into the recruitment process and also how to receive your newly hired employees and introduce them in a good and welcoming manner. In the previous article, we talked a bit about how you can further develop and retain your employees, so that they are less likely to seek new opportunities in the job market. Now, let's explore how we can further spice up the offering by providing attractive salaries, bonuses, and other types of benefits.

Attractive salaries and bonuses

Although many consider salary not to be the most important factor, it is undoubtedly a significant part of the job offer. Therefore, offering an attractive salary is important, even if you're not necessarily leading in terms of pay within the industry. But how do you determine reasonable salary levels and what to offer to IT developers with different skills and experiences? Well, that's not an easy question to answer, as it varies immensely, especially in larger cities across the country. The simplest approach is usually to assess the situation of the job seeker and try to gather some information about their current salary level and what they have in mind if they were to join your company. In Sweden, there's always the option to verify the taxable income through the tax records at the Swedish Tax Agency (Skatteverket), but these records might often reflect older data that might not accurately represent the current situation.

Sometimes, the job seeker might have several options in progress simultaneously and may want to play companies against each other. Avoid getting into a 'salary war' and provide your offer, then let it be. If it turns out that you're not progressing in the process, maybe it was never meant for the person to start with your company. Always conclude processes in a graceful manner, regardless of how the discussions have gone. You never know what might happen in the future...

Now, let's talk about bonuses. This can be managed in many ways, but one of the most successful methods is when bonuses are linked to individual achievements. At the same time, this requires a fair amount of work, but once you've set it up, it provides a lot in return. In essence, you create individual development plans with specific goals and then determine how much fulfilling various goals is worth. Another fun approach is to assess areas of responsibility and expertise and rate all competencies on a scale from one to ten. Then, you can link bonuses to different areas. For instance, you might have an employee who is at level 5 in a specific area, and you could agree that if they manage to reach level 6, it automatically results in a thousand Swedish kronor increase in salary. Read more about this in our article series where we discuss assembling the optimal IT development team.

Other ways to define and offer bonuses include project-based variations where a reward is given for successfully completing a project, or bonuses linked to different accomplishments like certifications or completed trainings, and similar.

Skill development

Another important aspect in professional life is the opportunities for skill development or growth in other ways. Therefore, it's crucial to highlight the opportunities available at your company. Perhaps you include systematic efforts for skill development in the individual development plans you create for all employees? Or do you establish goal documents linked to salary development, as we discussed earlier? In any case, it's important to clarify your focus on this area. And even if you might not be wholeheartedly investing in this aspect, maybe you should consider doing so...

In larger companies, there are often numerous internal courses that can help employees develop. Some even have an internal training portal where employees can choose from various 'free' courses, lectures, and workshops. Often, these internal trainings are conducted by more experienced colleagues who share their knowledge with others.

Remote work

Even if it's not suitable for everyone, the opportunity to work remotely to some extent is usually appealing. There are varying degrees of remote work. It ranges from being able to work remotely as much as you want from anywhere in the world, to needing to be physically present five days a week. Most companies offer some form of hybrid solution where you're expected to come into the office some days a week, but the rest can be done remotely. This type of hybrid solution usually appeals to most people because a fully remote solution might be challenging if you're expected to become a part of the team. In such cases, it often helps to meet the team at least once a week.

And even if remote work is offered, there might be restrictions on where the work can take place. Not all companies might allow you to work while lying on a beach in Koh Samui and typing on your keyboard. Some might require you to be within Sweden's borders, which would also exclude our Nordic neighbors.

Health-related benefits

Lastly, we come to health-related benefits. Apart from wellness allowances, there are many other types that might be interesting. Wellness allowance is perhaps the most classic option and is based on receiving compensation for various activities you engage in during your free time. The maximum amount currently is 5000 Swedish kronor per year, but many employers offer levels far below that. The advantage of wellness allowances is that they are tax-free and therefore not considered regular salary. Not everything qualifies as wellness activities, so check with the Swedish Tax Agency (Skatteverket) for the latest information on this.

Apart from more straightforward wellness activities, there are also some other benefits with slightly different regulations. For updated information, we recommend a visit to skatteverket.se.

By offering attractive salaries and bonuses, investing in training and skill development, promoting work-life balance and health-related benefits, as well as providing flexible work arrangements, you can become an employer more appealing to IT developers. This creates a positive work environment where employees feel valued and motivated to contribute to the company's success. When employees perceive that their needs and well-being are prioritized, the chances of them becoming long-term and loyal contributors increase, benefiting both the company and the employees themselves.

In conclusion, we'll delve into the important areas of feedback and communication. More on this in the next article.