When recruiting for fresh talent, there are all sorts of factors at play when creating a compelling and attractive package for candidates - but few are more pivotal and eye-catching than your basic salary offer.
This headline number is one of the easiest ways for candidates to compare your offering to those of your competitors, and is always likely to be one of the most important details that anyone who is interested in working for you will be looking to find out. As such, it is essential to regularly review how much you are paying your new starters, and make sure that this offer is set at the right level to attract the calibre of applicant you require.
In this blog, we will look at the different factors that you ought to be taking into account when determining whether your organisation is paying enough - as well as examining the reasons why a truly compelling job listing needs to also go beyond salary considerations.
The importance of setting the right salary level
Setting a competitive and attractive salary in your job listings is a crucial factor in helping your organisation to attract and retain the best available talent for your key roles. Pay rates will be one of the main factors that any prospective applicant will consider, and this applies equally for your current workforce, who will be more likely to remain loyal if you are paying them at an equal or better rate than your key competitors.
Salaries therefore need to be reviewed and updated regularly, in order to make sure your levels of pay are properly reflective of the current state of the market and the ever-escalating cost of living. Allowing your pay rates to stagnate will inevitably lead to worker dissatisfaction, and make it harder for you to attract new candidates.
It is also highly beneficial to your recruitment efforts to be able to advertise a clear salary estimate in your job listings. On average, job adverts that do not display a salary receive fewer applications, thereby holding back your efforts to fill crucial vacancies.
How to work out whether you are paying enough
In order to determine whether or not your salary levels are competitive and compelling, you should consider the following factors:
● What are your competitors paying candidates in similar positions, or with comparable levels of seniority?
● Are you calculating your salary with respect to regional pay expectations? Have you factored area-specific, cost-of-living trends into your pay rates?
● Are you regularly reviewing and adjusting your salary levels in line with current inflation trends?
● Have you surveyed your existing staff on their satisfaction with their current pay grades? During exit interviews, are you asking employees who leave the company about whether their salary was an influential factor?
● Have you spoken to a professional recruitment consultant about whether your salary packages are likely to be attractive?
By asking these questions and considering the answers carefully, you will be able to develop a salary policy that reflects the needs and expectations of your current and future staff.
Considering factors beyond salaries
However, it is also important to remember that salaries are not the be-all and end-all of your overall employment package. You should also consider the following points when thinking about how your pay policies fit into your overall candidate offering:
● Employee perks and benefits can be an additional way of making a candidate package more compelling, even without increasing the base salary level. These could include bonuses and pension schemes, on-site amenities, use of a company car, gym memberships, additional paid leave or flexible working allowances, all of which can make a role highly attractive, even if the headline salary is below an industry-leading level.
● Factor in any staff-related expenses when calculating your salary package. Taking on a new member of staff may require investment on the company’s part in personal equipment, training, software licenses or other accommodations, all of which needs to be accounted for when working out how much someone should be paid.
● Basic salary levels should be put in context of a broader development and progression plan for new applicants. Lower base rates of pay will be much more palatable to candidates who can see numerous opportunities for training, advancement and self-development over the course of their career with your organisation.
By considering all of these matters, you will be able to put together a satisfying and well-rounded package for candidates, with salary becoming just one of many attractive factors that will help your business to compete for the very best talent.
How can we help?
Developing the right salary package and candidate offering to support your recruitment efforts can be a real challenge, which is why it can be so advantageous to work with an experienced recruitment agency to share this responsibility.
Employment Solutions has more than 20 years of experience helping organisations develop the very best hiring policies. We provide advice and practical support on a wide range of issues, from creating a progressive and compelling salary package to ensuring your recruitment processes are as efficient as they need to be.
To learn more about how Employment Solutions can support your recruitment efforts, call the team on 0161 839 5353, or complete the contact form below and we will be in touch soon.