Almost all employers have sought strategies to boost recruiting efforts in recent years as the job market has grown much more competitive.
But small employers have been particularly vulnerable to hiring troubles, especially when going up against larger companies for the same talent pool.
This is why it’s important for business owners, hiring managers, and recruiters to keep up with the latest news and studies that can help provide insights into job seeker expectations and behavior.
And new study from Glassdoor revealed some interesting data around two topics that are becoming much more important to candidates – salary transparency and pay gaps.
WHAT DOES THE REPORT SAY ABOUT THESE HIRING TRENDS?
The 2019 Glassdoor Data on the Gender Pay Gap and Salary Transparency report was conducted in March 2019 and was taken by over 1,000 full or part-time employed adults in the United States.
One area that was highlighted in the survey was something that business leaders and recruiters need to take note of: negotiating salary is becoming more common for both male and female candidates.
Today, just 39% of men and 42% of women accepted their most recent job offer without negotiating their salary.
But take a look at these numbers just a few years ago. In 2016, 52% of men and 68% of women didn’t negotiate their salary.
Those are clearly significant decreases. And when looking at the totals, the same is true: 40% today compared to 59% in 2016.
For employers, this means they need to be flexible with compensation or risk losing out on top talent.
SALARY TRANSPARENCY AND THE GENDER PAY GAP
Another growing trend involves salary transparency, especially around pay gaps. The rise of employer review sites, such as Glassdoor, has made it much easier for employees and job seekers to find salary information.
In many cases, job seekers now expect employers to include salary ranges or numbers within job descriptions.
Overall, 77% of employees surveyed said that salary transparency is good for satisfaction and business. And 47% of employees said that their company discloses salaries internally.
Data around gender pay gaps are a little more telling for employers. Around 60% of workers said they wouldn’t even apply to a company where a gender pay gap exists. And perhaps even more concerning to employers, 55% of employees said they feel like they need to leave their current company to get an increase in compensation.
This means that employers run the risk of losing great employees and missing out on job candidates if they aren’t up-front with salary information.
RECRUITING STRUGGLES ARE REAL FOR ALL EMPLOYERS
Job seeker expectations and demands have changed significantly since the job market rebounded after the end of the Great Recession.
As these shifts have become more prominent, employers have had to adjust their recruiting strategies accordingly to avoid losing out on the best available talent.
For small employers especially, understanding recruiting trends and partnering with strategic HR partners can help overcome hiring challenges and bring on new team members that can help drive a business forward!
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