A Personal Perspective On Employee Compensation

As I've grown in my career and personal life, the factors influencing my decision to join a company have evolved significantly. Gone are the days when salary was the only factor I considered when choosing a job. Now, it's about the total package, both monetary and non-monetary - and trust me, there's a lot more to consider.

Previously overlooked aspects of employee compensation like taxes, health insurance, and pension have become extremely important to me. Health insurance became particularly crucial when I got married, and its importance increased even further when I became a father. Taxes represent an obligation I have to the government, and failure to pay could attract punishments such as fines or even imprisonment - none of which I want for myself. Similarly, pensions are vital because they provide a safety net for retirement. If nothing is put into the pension fund, there will be nothing to fall back on in later years. For this reason, if a company's offer for full-time employment doesn't include these essential components, it's a major warning sign for me.

While all the above are part of the monetary aspects of employee compensation, there are several non-monetary aspects that have also become crucial in my decision-making process.

Work Equipment

Providing proper tools for the job is more than just a courtesy - it's a fundamental responsibility. While I've been fortunate to work with companies that provide official laptops, some people aren't so lucky. Some companies create problematic scenarios where they issue laptops but then deduct the cost from the employee's salary. Even worse are companies that expect employees to use their personal devices for work without any compensation.

Using personal devices for work creates significant risks for both employees and employers. Questions arise about who takes financial responsibility for repairs and replacements when devices malfunction. Additionally, the company exposes itself to several security issues:

• Data leakage risks where unauthorized parties could easily access confidential documents and information.
• Copyright infringement liability risks when employees connected to the company network use their devices to download pirated materials.
• Access control risks due to the mixing of personal and professional accounts and applications, installation of malicious or unauthorized applications, and inability to enforce strong password policies.

From my observations, companies that try to cut corners on basic work tools often show similar patterns in other areas of employee support and professional development.

Performance Appraisals

When joining a company, I always seek to understand if there's a transparent and structured appraisal system. Does the company conduct performance reviews? How are they conducted? What's the frequency? What happens to employees who don't pass their appraisals? What do employees who pass appraisals stand to gain from the exercise?

While many early-stage companies may not have these systems fully figured out, what concerns me is their unwillingness to discuss this during interviews. Some companies are even downright dishonest, as the realities of their current staff don't match what they tell potential candidates.

A crucial aspect often overlooked is how inflation in Nigeria can effectively reduce earning power without regular salary adjustments. Without structured evaluations, promotions and pay raises become arbitrary, dependent on the whims of a few individuals in the company. A well-defined appraisal process helps employees understand their potential growth path and gives them concrete goals to work toward.

Workplace Culture

Workplace culture is a critical, often underestimated component of compensation. A toxic work environment can negate even the most attractive salary. As someone who can easily become absorbed in work, I've learned to recognize the importance of consciously disengaging from professional responsibilities.

While I'm capable of working beyond the standard 8-hour workday, I no longer want to work in an environment that expects this as the norm. In the early stages of my career, work-life balance wasn't a concept I valued. I worked long hours, often woke up overnight for personal development, and functioned on minimal sleep. However, both my physical stamina and priorities have changed. Now married with a young family, quality time at home has become paramount.

This shift means I want to work for an employer that sets reasonable overtime expectations and respects employees' time outside of work. Many companies struggle with asynchronous communication, especially in remote work environments, expecting immediate response at all hours. A healthy workplace should not require employees to be constantly available outside standard working hours.

Leave policies represent another crucial aspect of workplace culture. I once worked 16 months without leave in a high-pressure environment, leading to anxiety whenever my phone rang - a response I managed by setting my phone to vibrate, a habit I still struggle with years later. Beyond the personal health challenges, a company seeking growth needs healthy, well-rested staff to accomplish its business objectives. Therefore, the absence of a clear leave policy is a significant dealbreaker.

Perspective on Software Engineering

As a software engineer, I seek meaningful, challenging projects that drive innovation. Unfortunately, not all companies view software engineering or technology as a profit center. In companies where software engineering is treated as a cost center, the department and its members often become second-class citizens. Such environments typically suffer from limited career growth opportunities. Through others' experiences, I've learned how these environments can severely hinder professional development. Therefore, I prefer working for companies that recognize software engineering and technology as a key driver of progress and invest accordingly.

Summary

Compensation extends far beyond monetary value - it encompasses respect, growth opportunities, support, and professional development. At this stage in my career, I seek more than just a paycheck; I want a workplace that values me both as a professional and as a person. This means providing appropriate tools, fostering a healthy culture, offering clear growth paths, and recognizing engineering's role in driving innovation.

For employers, these factors will help attract and retain top talent. For job seekers evaluating opportunities, remember to look beyond the salary. Examine the entire package, including culture and potential for personal and professional growth.

What are your non-negotiables when considering a new role? Follow me on Twitter/X and LinkedIn to continue this conversation.