In today’s competitive job market, employers across Hawaii are discovering that compensation is more than just a paycheck; it’s one of the most powerful tools for attracting and retaining the right talent. When employees believe they’re being paid fairly for their skills and contributions, they’re more engaged, more productive, and more likely to stay. When they don’t, turnover rises, recruitment becomes more challenging, and organizations end up spending more to fill the gaps.

For employers, the challenge is that “getting compensation right” is not always straightforward. When making pay decisions, it’s important to strike the right balance between staying competitive with the market and ensuring fairness within the organization, all while keeping budget constraints in mind. Market rates shift, skills grow in demand, and employee expectations continue to evolve. Without reliable data and a thoughtful approach, compensation strategies can quickly fall behind.

That’s where data becomes essential. Employers who base their pay structures on accurate, local compensation data gain a clear understanding of how their offerings stack up in Hawaii’s unique labor market. Instead of relying on guesswork or mainland benchmarks, they can make informed decisions grounded in what employees here actually expect and what competitors are offering.

But data alone isn’t enough—it has to be put into action. Compensation survey reports can reveal pay gaps, highlight where adjustments are needed, and help employers set a structure that’s both fair and competitive. Employers also need to think strategically about where to direct their compensation budgets. For example, they might choose to prioritize hard-to-fill roles, critical skill sets, or top performers who are most at risk of being poached by other companies.

Compensation is also just one part of a broader strategy. Once pay is aligned with the market, organizations can differentiate themselves with other factors that employees value, such as career development, workplace culture, flexibility, and benefits. Together, these elements create a compelling reason for employees not only to join an organization but also to stay and grow within it.

HEC is committed to helping employers put this into practice. Our upcoming webinar, “Data to Action: How to Use HEC Survey Data to Retain Talent,” will explore the fundamentals of effective compensation management, including market pricing, salary structures, and internal equity. Participants will also learn how to interpret and apply HEC’s compensation survey data to make informed pay decisions that support both their people and their business.

Led by Dawn Mitchell, HEC’s Manager of Surveys and Compensation Services, the session will provide practical insights for employers who want to strengthen their compensation strategies. With over 20 years of experience in compensation and HR, Dawn brings deep expertise in turning data into actionable strategies that help organizations remain competitive in a tight labor market.

Getting compensation right isn’t just about avoiding turnover; it’s about building the foundation for long-term organizational success. Employers who use data to guide their decisions can create pay practices that are fair, competitive, and sustainable, ensuring they remain an employer of choice in Hawaii’s evolving workforce.