the impact of covid-19 - infokf.kornferry.com
TRANSCRIPT
The impact of COVID-19
Remote Workplace Compensation
Practices
Turkey
September 2021
2
Table of Contents
01 Introduction
02 Korn Ferry global perspective
03 Pandemic effect on business in 2021
04 Remote working
05 Compensation policies for remote workers
06 Benefits and allowances for remote workers
07 Changes in pay practices
08 Measures related to vaccination
09 Overview of participants
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Today, we stand at a crossroads in the world of work. As a result of the last 18 months of
adapting and evolving, organizations around the world dynamically modified their pre-pandemic
operating models. Some organizations have already developed new “permanent” virtual work
models, while many others are currently weighing their alternatives. Regardless, it is clear for many
organizations that the pandemic has altered how business will be conducted and how workers will
be deployed. Market practices will continue to evolve and Korn Ferry will continue to
monitor and report on future trends.
This is the fifth in a series of pulse surveys from Korn Ferry designed to gather insights into
how organizations are adapting their reward programs in response to the pandemic, and to assess
how their plans for future total rewards and benefits changes are evolving.
This survey ran from August 6 to August 29, 2021.
This report covers responses from the following organization profiles:
Introduction
Geography: Turkey Industry: All
Geography : GLOBAL
Industry : All
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Pandemic effect on business in 2021
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Global impact
Expected impact on
annual revenue
March 2020 survey
All organizations
November 2020 survey
All organizations
August 2021 survey
All organizations
Positive impact…increase by more than
10% over budget
2% 11% 17%
No impact…be in line with budget
5% 23% 31%
Small impact…decline by 5%~15%
13% 25% 22%
Significant impact…decline by 16%~30%
25% 21% 15%
Serious impact…decline by 31%~50%
21% 9% 0%
Very serious impact…decline by more than
50%
N/A 0% 0%
Don’t know yet 34% 11% 15%
Impact the pandemic continues to have on the organization’s business in 2021 (estimated)
# of respondents = 268 # of respondents = 80 # of respondents = 65
Remote working
Remote work options for select roles(excludes roles that could not be conducted remotely -- e.g., factory production roles)
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15%
20%
65%
Prior to the pandemic
72%
26%
2%
During the pandemic
20%
12%
66%
25%
All employees need to return to theworkplace full time
Select employees will need toreturn to the workplace full time
Select employees will have theoption to work remotely partially/for
part of the week
Select employees can (continue to)work remotely full time
Post pandemic
# of respondents = 65 # of respondents = 65
# of respondents = 65
Geography : Turkey
Industry : All
9
Working from home practicesWorking from home arrangements implemented as a result of the pandemic.
44% 16% 40%
Number of organizations that decided on which roles/employees are eligible to work remotely going forward
Yes No Considering
12%
48%
40%
1 day a week
2 days a week
3-4 days a week
Number of days that partially remote employees will typically be expected to
work remotely.
# of respondents = 43
# of respondents = 50
2%
4%
14%
26%
24%
30%
N/A – no remote work policy
Less than 10%
11-25%
26-50%
51-75%
More than 76%
Percentage of employees that organizations anticipate allowing to work
remotely (where role allows).
# of respondents = 50
10
Working from home impactImpact on the office space going forward.
8%
24%
42%
26%
Consideration to decrease office space as a result of remote working
Will close down somelocations
Will decrease space insome locations
No consideration todecrease office space
N/A
# of respondents = 50
Compensation policies for remote workers
Compensation structure and policies
12%
86%
2%
Do organizations have different compensation structures for employees based in different geographic work locations within a single
country
Yes
No
Considering
# of respondents = 65 # of respondents = 16# of respondents = 43
87%
13%
Do organizations have formal policy in place for determining pay for fully remote employees
Yes
No
Considering
84%
16%
Do organizations have formal policy in place for determining pay for partially remote employees
Yes
No
Considering
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13
Compensation policy
Compensation structure for employees in remote
locations (to be) based on:
% of
organizations
Where the employee lives 6%
The closest office location to the employee 0%
National country data 38%
The HQ/main office location 6%
Other 6%
Not decided yet 44%
# of respondents = 16
Compensation structure and policies considering employees working remotely
Geography : Turkey
Industry : All
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Compensation policy
62%
0% 0%
38%
Yes No - expect topay lower
No - expect topay higher
Varies
Does your organization anticipate paying a similar rate for a newly hired remote employees
vs onsite employee in the future?
# of respondents = 50
3%10%
87%
The impact of legislated unemployment benefits on hiring
A big factor A moderate factor A small factor
# of respondents = 62
Hiring aspects
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Compensation policy
6%0%
50%44%
Yes - most of thetime
It depends – some of the time
We rarely do this We are consideringthis
Do organizations lower base pay if a remote employee moves from a higher wage to a lower wage location
18%
6%
38% 38%
Yes - most of thetime
It depends – some of the time
We rarely do this We are consideringthis
Do organizations increase base pay if a remote employee moves from a lower wage to a higher wage location
# of respondents = 16
# of respondents = 16
Changes to actual base pay depending on the location of the employee
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Compensation policyTravel related expenses for remote workers
4%
78%
18%
Organizations who expect an increase in travel related expenses due to remote
workers
Yes No Not sure
40%
26%
34%
Organizations who plan to pay for travel related expenses for remote workers to
attend meetings at a physical office
Yes - in most cases Yes - in some cases
No - in most cases
# of respondents = 50 # of respondents = 50
Benefits and allowances for remote workers
Geography : Turkey
Industry : All
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Benefit/allowances changes
Changes (to be) applied to benefit programs as a result
of remote workers
% of
organizations
Reduce/Remove company car for select employees 6%
Offer travel allowance/mobility budget in lieu of a
company car policy9%
Reduce/remove travel allowance as less
travel/commuting is expected4%
Offer an allowance/expenses reimbursement to set up a
home office32%
Offer an allowance/expenses reimbursement to cover
monthly bills (e.g. WIFI, utilities)45%
Offer additional wellness benefits 9%
Offer medical benefits improvements 6%
No changes to benefits programs as a result of remote
workers43%
# of respondents = 47
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Benefit/allowances details
92%
9%
33%
8%
95%
82%
100%
67%
5%
9%
Home office setup
WIFI connection
Phone bill
Utilities bill (example, electricity bill)
Other
Administration of the allowances / benefits provided or planned to be provided to the remote workers
One-Time Payout/Set up Monthly Allowance Expense Reimbursement
# of respondents = 20
Equipment and support provided
(or planned) for remote workers to
set up a home office
% of
organizations
No provision 8%
Laptop, tablets or desktop 85%
Work chair provision 39%
Work desk provision 23%
Printer provision 8%
IT/Technical support 54%
Other 23%
# of respondents = 13
Changes in pay practices
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Impact on pay practices
8%
6%
3%
3%
5%
3%
4%
9%
5%
14%
11%
10%
9%
6%
8%
7%
87%
80%
86%
87%
86%
91%
88%
84%
Base pay increase frequency
Shift premiums/differentials
Premiums to work extra hours (above normalschedule)
Referral bonuses
Sign-on bonuses
Retention bonuses
Special incentive/bonuses
Recognition awards
Impact on the following pay practices with regards to pandemic
More than before pandemic Less than before pandemic
About the same as before pandemic
# of respondents = 60
22
Impact on pay practices
29%
66%
5%0%
Higher increasesthan pre-pandemic
increases
About the samelevel of increases as
pre-pandemicincreases
Lower increasesthan pre-pandemic
increases
No payincrease/basesalary freeze
What level of base salary increases do organizations anticipate relative to pre-pandemic base salary increases
for 2022 fiscal year
# of respondents = 62
Measures related to vaccination
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Approach towards vaccination in organizations
10%
39%
51%
Companies that mandate all employees to take the vaccine
Yes No Undecided
3%
36%
18%
43%
Providing an incentive for employees to get the vaccine if companies will not mandate
employees to get it.
Yes No Сonsidering an incentive N/A
34%
15%
51%
Implementation of different safety guidelines for vaccinated and unvaccinated onsite employees
(i.e. masks, social distancing)?
Yes No N/A
# of respondents = 62# of respondents = 56# of respondents = 62
Overview of Participants
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Over 3,700 respondents globally completed the survey. Respondents are typically from the Compensation and Benefits function
(manager level and above) and HR Business partner roles. A wide range of organization size and ownership is represented.
Overview of participants
PARTICIPANTS PROFILE
By Organization size By Ownership type
Less than 100 people
14%
101 -250 people21%
251 - 500 people
8%501 - 1,500 people23%
1,501 - 5,000 people20%
5,001 -20,000 people
9%
More than 20,000 people
5%
Publicly held, 22%
Privately held/family held, 70%
Govt/public sector/state/
NFP, 0%
Other, 8%
# of respondents = 65 # of respondents = 65
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There is a strong representation globally across all major regions and industries.
Overview of participants (cont.)
PARTICIPANTS PROFILE
By Industry (% of sample)
Fast Moving Consumer Goods 12%
Life Sciences 6%
High Technology 6%
Healthcare 5%
Chemicals 3%
Construction and Materials 3%
Industrial Goods 3%
Consumer Durables 3%
Insurance 3%
Financial Services 3%
Telecommunications 3%
Oil and Gas 2%
Transportation 2%
Services 2%
Retail 2%
Utilities 2%
Media 2%
Natural Resources 0%
Leisure and Hospitality 0%
Banks 0%
Public Sector 0%
Education 0%
Not-for-profit 0%
Other, please specify 38%
Additional resources
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Find out more
Take a deeper dive into the data
Discover how COVID-19 has impacted regions and industries. Request
your free copy of the regional/ industry reports by filling out the form here.
REQUEST REPORTS
Additional resources from Korn Ferry
For more information
on how we can help
you optimize your total
rewards program,
contact us today.
CONTACT US
Whitepaper
Rewriting the talent
recipe.
Article
Vaccine Mandates: A
Pressure-Packed Call.
Perspective paper
Reimagining remote
work.
For other queries about this survey please direct your email to [email protected]
and we will find the appropriate person to reply
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Contact us
Global Don Lowman [email protected]
North America Ron Seifert Ron. [email protected]
Europe Benjamin Frost [email protected]
Middle East Spyros Dimou [email protected]
Africa Vijay Gandhi [email protected]
South America Marco Santana [email protected]
Asia Mary Chua [email protected]
Pacific Trevor Warden [email protected]
Mexico and Central America Ana Paula Chapa [email protected]
Other queries [email protected]
