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The Hidden Driver of Total Rewards Success: Strategic Employee Communication 

Author: Kristina Mishevska Last updated: June 18, 2025 Reading time: 5 minutes

When organizations invest in Total Rewards, they often focus on the core offering. How competitive is our bonus? How transparent is our equity structure? Do we offer enough flexibility in our benefits? These are important questions, but throughout more than 580 campaigns, a new insight has emerged. 

What truly moves the needle in Total Rewards is not just what you offer, but how you communicate it. 

From 2022 to 2025, one of the world’s largest technology-driven employers ran more than 580 Total Rewards campaigns using Semos Cloud’s Employee Comms. Each campaign reached between 15,000 and 80,000 employees, covering critical topics such as bonus plans, compensation updates, equity awards, and pensions.  

The following analysis reflects the expected impact of well-executed employee communication based on industry research. These figures should be considered directional rather than exact. Their purpose is to underscore why communication deserves a front-row seat in Total Rewards planning. 

The data is combined with benchmark research from global firms like Morgan Stanley, PwC, Deloitte, Gartner, and Willis Towers Watson. 

What Do These Campaigns Cover? 

Based on the internal campaign analysis from 2022 to 2025, Total Rewards communications consistently follow a structured set of topics. These include: 

  • Bonus Plans: Details about eligibility, payout results, and future KPIs. 
  • Equity Awards: Grant notifications, vesting schedules, and taxation guidance. 
  • Pension Plans: Enrollment instructions and legal updates. 
  • Compensation Reviews: Salary adjustments and market benchmarking. 
  • Spot Awards: Recognition updates for high performers. 
  • Tax and Legal Notices: Legislative changes across geographies. 
  • Miscellaneous Updates: Clarifications, corrections, and ad hoc communications. 

These campaigns are not one-off. They are part of a broader, integrated effort to ensure that Total Rewards are not only fair and competitive but also understood by employees at every level. 

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Why Communication Matters in Total Rewards 

Employees cannot value or engage with what they do not understand. If your workforce lacks clarity around what they are receiving and why, even the most generous compensation programs can fall flat. Here is what the data suggests when communication is done right. 

Retention and Engagement 

Employees who understand how rewards work and receive timely updates about their compensation are more likely to stay with the company and remain engaged in their work. 

  • According to predictive modeling, clear and personalized rewards communication may be associated with up to 20% lower attrition compared to peers who do not receive these updates. 
  • Personalized campaigns such as “Your 2025 Rewards” help make the Total Rewards experience feel more tailored and fairer to the employee, increasing perceived value and satisfaction. 

Compliance and Risk Mitigation 

Effective Total Rewards communication also plays a critical role in compliance, particularly in regulated markets such as Germany and the broader European Union. 

  • Deloitte reports that localized communications drive over 90 percent engagement in countries like Germany, where tax and pension laws are complex and highly regulated. (Source: Deloitte EU Rewards Compliance 2023
  • Proactive updates about tax or pension changes can reduce the risk of non-compliance, with less than one percent failure rates observed in organizations that prioritize communication. (Source: Deloitte Global Compliance Trends 2024

The organization has consistently used proactive, multilingual campaigns to ensure compliance across all major regions. Over 30% of campaigns were either in German or bilingual formats, even though English was used in approximately 70% of all campaigns. 

Operational Efficiency and Productivity 

Strategic communication not only supports employees but also reduces the administrative burden on HR teams and improves the effectiveness of compensation planning

  • According to PwC, organizations that implement employee self-service tools and clear communication see up to a 30% reduction in HR inquiries. (Source: PwC HR Technology Survey 2023

These benefits are not hypothetical. They are observed across industries and provide strong evidence that rewarding communication is more than a task for internal communications. It is a business enterprise. 

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What the Data Tells Us 

The consistent use of Employee Comms allows one of the world’s largest technology-driven employers to maintain a structured rhythm of communication that responds to local regulatory needs, company-wide planning cycles, and ongoing employee feedback. 

  • 70% of campaigns were delivered in English, with 20% in German and 7% bilingual. 
  • Campaign volume grew 15% to 20% annually, driven by increased global footprint and complexity in rewards structures. 
  • Engagement levels were highest in regulated markets where local-language communication was prioritized, reinforcing the importance of cultural and regulatory alignment. 

Why This Matters for HR and Total Rewards Leaders 

This body of work illustrates a simple but often overlooked truth. Total Rewards is not just about policy. It is about perception. And perception is shaped by communication. 

When organizations treat communication as a strategic function rather than a final step, they unlock measurable value. Retention improves. Compliance becomes less risky. HR operations become more efficient. Most importantly, employees feel respected, informed, and connected to the business. 

The message is clear. To realize the full value of your Total Rewards strategy, you must invest in how you communicate it. 

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