Excessive perks are losing their impact when it comes to both attracting and retaining top tech talent, according to a new global report by leading tech and digital recruitment specialist, Talent.

Talent’s “More Than Money”, a global work/life guide for the tech sector highlights the importance of the nature of work itself when it comes to attracting and retaining people. According to Talent’s research, meaningful and challenging work, a great manager, flexibility, career development, skills development and working for a company with a clear purpose are valued above all other benefits.   

The report features key insights from 15 cities across ANZ, EMEA and the US into the most in-demand tech skills for 2020, salary bands for a range of contract and permanent positions, and looks at the emerging trends in the technology sector. It also provides insights into the most effective non-monetary benefits when it comes to attracting and retaining talent. 

In a candidate-short market, companies are increasingly using perks in an attempt to attract and keep team members, according to Talent APAC CEO Mark Nielsen. 

“It is widely accepted that a good place to work requires more than a ping pong table and drinks on a Friday, but many companies have gone over the top with perks that don’t actually add much value to day to day job satisfaction,” said Nielsen. 

“In-house baristas, massages at your desk and free lunches provided all sound pretty good on the face of it but they are not the things that keep employees happy at work.”  

When it comes to attracting new talent, technology professionals are concerned about the work itself beyond any other benefit. 

“Candidates are seeing beyond the glitter of this perk economy and instead want to know if they will be valued and empowered to do their best work with the right tools. We are seeing candidates brushing aside the perk talk and focusing on finding out what makes the organisation a good place to work, and determining whether the work will be engaging and the leaders will be supportive.”

Providing a comprehensive city by city comparable salary guide, “More Than Money” also reports that the average tenure of technology professionals is now just 1.64 years. This figure, which covers both permanent and contract positions, highlights the changing and more transient nature of the workforce and the importance of attracting talent in this climate.  

“It’s not just enough to pay well and offer a few perks, with talent moving on more quickly than ever before, businesses need to be purpose driven and have a focus on health and wellness, flexibility, learning and development, and clear and honest communication to win the war for talent,” Nielsen said.

The importance of meaningful work is a key focus for Talent’s Head of People and Culture, April Marcot, who argues that company-wide perks pale in comparison to workplace connection.

“People don’t stay at a company because of the free lunches, it’s because they feel connected to their place of work. If perks can facilitate a feeling of connection, then they provide a benefit – but you don’t need an abundance of extras for that to happen,” Marcot said.   

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