According to Smartree Workforce Index, an analysis conducted by Smartree Romania, a leading provider of outsourcing payroll services and personnel administration in Romania, in 2017, there were 12% more employees working in private companies. The average bonuses increased by 11% also, compared to the previous year.
According to Smartree Workforce Index, the Employee Well-being increased by 7% compared to 2016, and the Economy Report registered a similar percentage of growth, namely 7% over the same time period.
“Taking into consideration the job openings, last year was a good one for the Romanian economy, with an increase in the number of employees nationwide. This situation was visible in the number of new office buildings, logistics centers, factories and new production units of foreign investors in our country, and also by the expanding operations of the companies already present in Romania. Besides the difficulties encountered in the recruitment process, employers still faced the challenge of maintaining good employee retention rates, therefore many companies had to raise wages or improve the bonus system,” said Adrian Stanciu, Smartree CEO.
Thus, according to Smartree’s statistics, the number of employees increased on average by 12% in 2017 compared to the previous year. The evolution registered in the four quarters of last year were relatively uniform, with growth rates slightly above 13% in the first and second quarters, respectively 10% and 11% in the last two quarters, compared with similar periods in 2016.
According to the company’s data, employments have been recorded in all areas of activity, mainly in the fields of telecommunications, financial services, audit and consulting, pharma, automotive, BPO services, software development, digital services and IT consulting. The growth trend of the number of employees was mainly based on the favorable macroeconomic climate and on the economic growth registered last year. This increase is also reflected in the unemployment rate, an indicator that has reached the minimum historical value in recent years.
In 2017, more and more employers have adapted to the requirements and needs of their employees and, according to Smartree’s statistics, additional wage benefits have increased on average by 11% compared to 2016. The highest increase, of 24% was registered in the second quarter of 2017, followed by an increase of 10% on average, over the next six months.
“We are witnessing an increasing number of companies that are making efforts to maintain high retention rates and motivate their employees to be effective at work. Thus, in addition to traditional benefits such as meal tickets, medical subscriptions or bonuses offered with the occasion of special events, employers are moving towards an ever-growing range of methods, including shaping a stronger employer brand by exploiting the perks of their own organization,” added Adrian Stanciu.
The employee well-being increased by 7% in 2017
The positive evolution of the bonus system can also be seen in the increase of the employees’ well-being, which registered a growth of 7% compared to the previous year, according to Smartree’s statistics. The index is also influenced by the situation of annual and medical leaves. The number of days off went up by 4%, while the number of days of sick leave taken by employees increased by 5%.
The Smartree Workforce Index takes into consideration the evolution of the economy, including the evolution of the employee number and the evolution of salaries. Thus, if salaries increased by 2% in 2017 compared to previous year, the index showing the evolution of the economy increased by 7% in the same time period.