{"id":4030,"date":"2023-04-04T11:32:59","date_gmt":"2023-04-04T09:32:59","guid":{"rendered":"https:\/\/relaunch.software4you.com\/the-fte-dilemma\/"},"modified":"2025-01-21T12:38:20","modified_gmt":"2025-01-21T11:38:20","slug":"the-fte-dilemma","status":"publish","type":"post","link":"https:\/\/www.software4you.com\/en\/the-fte-dilemma\/","title":{"rendered":"The FTE dilemma"},"content":{"rendered":"\t\t
\n\t\t\t\t\t\t
\n\t\t\t\t\t\t
\n\t\t\t\t\t
\n\t\t\t
\n\t\t\t\t\t\t
\n\t\t\t\t
\n\t\t\t\t\t\t\t\t\t

What to consider when converting to FTE<\/b><\/h4>

At first glance, converting work performance into FTE is very simple. But on closer inspection, things are a bit more complicated. International corporations in particular, and those that measure productivity not only in terms of personnel costs, have to take a number of things into consideration.<\/span><\/span><\/b><\/p>

\u00a0<\/b><\/p>

A shortage<\/span><\/span><\/span><\/span> of <\/span><\/span><\/span>skilled workers and demographic change have significantly shifted the tasks of HR managers. Whereas in the past it was primarily a matter of paying salaries on time and correctly, the Human Resources Units and People & Culture Departments now focus primarily on increasing the attractiveness of their company for existing and future employees. Because without employees there is no growth, no innovation, no future.<\/span><\/span><\/span><\/h4>
\u00a0<\/span><\/div>

Flexible working time models make companies attractive<\/span><\/span><\/b><\/h4>

\u00a0<\/b>Nothing contributes more to the attractiveness of a company than offering flexible working hours. This is confirmed by a StepStone survey of 22,500 employees in 2020. The freedom to decide for yourself how long you work is the most important criterion for applicants today – even before salary and meaningful tasks.<\/span><\/span><\/span><\/p>

\u00a0<\/span><\/p>

The catch: The tailor-made solutions for positions and employees lead to increasing confusion within the company and complicate the calculations of personnel costs and budget planning. The equation “one employee = one full-time position” is becoming increasingly rare.<\/span><\/span><\/p>

\u00a0<\/p>

The solution: All jobs are converted into full-time equivalents (FTE). This records the actual hours worked – regardless of how many people perform them.<\/span><\/span><\/p>

\u00a0<\/p>

FTE calculations create cost transparency<\/span><\/span><\/h4>

At first glance, the principle of the calculation is very simple: the number of working hours per full-time employee is determined company-wide. Assuming it is 38 hours per week, this corresponds to 1.0 FTE; a 19-hour week would correspond to 0.5 FTE. According to this principle, each employee receives an FTE value that reflects their weekly working hours.<\/span><\/span><\/span><\/p>

\u00a0<\/span><\/p>

The advantages of converting to FTE are obvious:<\/span><\/span><\/p>

\u00a0<\/p>