Money matters – especially when it comes to attracting and retaining talented employees. But, experts say, companies that think that’s all there is to it – getting the dollar amount right – are likely to learn the hard way, through turnover, that they’re missing the X-factor.

It’s not just a matter of the price being right.

Some employers assume once they’ve hired someone they can just put them on the annual raise path on autopilot and don’t have to worry – that the employee owes the manager or the company loyalty, notes Ray Luther, clinical assistant professor of management and entrepreneurship and director of the MBA Leadership Academy at the Indiana University Kelley School of Business in Bloomington.

“I think that’s a mistake,” Luther says. “I think the market is very open.” As employees check on Glassdoor, LinkedIn, and with friends, he adds, they’re going to be able to easily see not only if an employer is keeping up with the going rate for the work they do, but how that company competes in areas beyond pay and benefits, including how they treat employees overall.

In its latest annual survey of Central Indiana employees, Energage – which collects data used to identify Top Workplaces – found that worker sentiment had dipped in several key areas, including loyalty. Specifically, fewer surveyed employees reacted positively to the statement: “I have not considered searching for a better job in the past month.” While the majority still did – at 55.8% – that was down 5.7% from the previous year, when it was 61.5%.

Only in one other area, benefits, did employee sentiment drop as precipitously. In that case, the proportion reacting positively to the statement “My benefits package is good compared to others in this industry” dropped to 50.9%, from 56.5% the previous year.

But employees aren’t just looking around or job hopping for the heck of it or simply to access better pay and benefits, though that’s certainly a factor. Some don’t feel like their employers have their best interests in mind – i.e. questioning whether the company they work is loyal to them and cares about their well-being.

“I think that loyalty is really a two-way street between the employee and the company,” Luther says. Loyalty also involves power, he explains: The company provides employment and pay, and at the same time, the employees have power in terms of choosing to work for the company or not.

From survey data and employee interviews, it’s clear that Top Workplaces check lots of boxes beyond competitive pay and benefits. Those include making sure employees feel like they’re doing meaningful work; that they’re genuinely appreciated; that they’re growth and development – professional and even personal – are prioritized; that their concerns are heard and managers value their feedback; and that they have work-life flexibility, being seen as a whole person not solely an employee.

When project manager Rex Bennett was asked what’s kept him for 11 years and counting at Top Workplace Indesign – an engineering design firm in Indianapolis – he answered emphatically and without hesitation. “No. 1, we have a great team. The people are amazing – great to work with, supportive of each other, great problem solvers. They have a lot going for them,” he says. “The recruiting team does a great job hiring not only for performance but for fit and also for the culture.”

It’s a common refrain: People want to feel like part of a team that has their back, and not treated like a number.

“Retention, loyalty, culture – it’s all about people, it always comes back to people,” echoes Karl Knapp, dean of the school of business and a professor of management at the University of Indianapolis.

“Keeping people is really about making sure you have a positive culture, that people have positive relationships with their coworkers, but especially their manager. I think one of the biggest elements driving people to leave often is their relationship with their manager not being positive. So it always boils down to that.”

Of course, the workplace itself is changing.

One big challenge to creating a certain vibe or culture is that many employees now do some or even the majority of their work at home. While it might then seem like a good idea to simply bring all employees back to the office for five days a week to recreate the workplace culture of the past, many employers have found a hybrid work model that offers flexibility is preferred by employees, and can maximize productivity.

“I think the best employers are thinking through actively, how do I create the relationships and social interactions and positive culture in a challenging environment when people aren’t often in the office?,” Luther says.

While there’s no easy answers, experts say, working through those challenges to ensure employees enjoy a positive workplace culture wherever they work is to retention. Of course, that’s not to say all employees will ever stay at one company.

Luther points out that forward-thinking employers focused on development are still going to have some high-performing employees move on to other opportunities. Question is: Are you competing for talent in the best way you can, by developing a culture that makes most employees want to keep coming back?

Some level of employee attrition is natural, but it’s in the company’s best interest to “create a great culture that’s meaningful for them while they’re here,” Luther says. Not that company leadership should be blasé about losing great talent to their competitors. Rather managers should have the mentality that: “My role is also to feel like I’m in competition to keep them.”

This article originally appeared on Indianapolis Star: Top Workplaces: Great culture attracts talent and aids retention