Whether your company offers a pool table, beer on tap, a benefits package or a generous holiday allowance, candidates will still be motivated by the salary on offer. There is, however, a trend in recruitment to salary match when it comes to new hires, or even offer a wage below what the person is currently being paid. Bond Williams discusses how this has the potential to backfire.
For starters, it is wrong to assume that a candidate will accept the same salary they are on or one that’s even lower just because they want to work for your company. Of course, if your business is one of the most desirable in its field and has a sparkling reputation, this will play a part but after time, candidates will expect career progression and wage increases to match.
Salary – young rich kid
Failure to numerically reward will lead to resentment and before long, the kudos of working for an employer – no matter how lauded – will wear off. People starting a new job without the buoyancy of a salary increase can often feel like they have taken an uninspiring sidestep or even a small demotion, especially if the role they have filled is more senior or complex in nature.
The ultimate upshot will be the decision to depart after a short time for a job where the compensation is more fitting, leaving the employer to start the recruitment process over again – a process that comes with financial and time implications.
It is also tempting to set a salary that represents a financial saving for your company when offering a job to a new candidate. In fact, shaving a couple of thousand pounds off what you may have paid the previous employee may sound like a good idea but it can be at a huge detriment to the incoming recruit, especially if that wage is the same or less than they earn in their current role.
Of course, the salary enough may leave the candidate with no choice but to reject an offer but what if they say yes and take up the position? Although they may have been successful in the recruitment process, the employee will mentally feel undervalued. This feeling can be compounded if they find out they are getting paid less than their predecessor, which will raise uncomfortable questions, impact productivity and discourage loyalty. If you are worried about pitching a salary too low, Bond Williams has the following advice…
If you are worried about pitching a salary too low, Bond Williams has the following advice…
If you need any advice on salary setting and the general recruitment process, come to Bond Williams for free advice.
Claire has almost 25 years Recruitment experience. A specialist in the regional recruitment marketplace, Claire has extensive local knowledge and holds a reputation for quality, integrity, honesty and excellent matching. Heading up the HR and Office & Commercial Divisions of Bond Williams. Claire is responsible for the overall growth and …