If you’re in a hiring mode or even need to replace one person, you need to offer a competitive salary. Why? Well, let’s face it, most of us work for money! Salary is a big consideration when people consider taking a job — and when they consider leaving it.
Here are the 3 crucial reasons you need to offer your people a competitive salary.
Attracting top employees
If you want the best people in your area, you have to be prepared to pay for them. This is especially true when unemployment is low, as it is now. People looking for work tend to take the biggest salary they can find, all other factors being equal — and top people can command a high salary. People already working will stay where they are if they feel they are fairly compensated.
If you’re not sure what the going rate for salaries is, you can do a competitive salary analysis. Survey competing firms in the area by job title.
Retaining your best employees
If you have good employees, be sure to pay them competitively. There’s generally a grapevine about company salaries, and your employees will know if another company in the area pays people more. They’ll be tempted to jump ship and go to that firm.
People leaving for higher salaries can disrupt your operations and make you work at less than peak productivity until replacements are hired and trained. You need good retention to keep your company running smoothly.
If employees feel underpaid, it’s likely to have an impact on how they view the company. Their morale and outlook sinks. Their commitment to the company — and even to do good work — suffers.
As a result, the quality and productivity of their work may suffer. Engagement will be impacted. Absenteeism may rise. Team efforts will become difficult.
Contact a Staffing Firm Today
If you need information on salaries in your area or salaries for particular job functions, give Debbie’s staffing a call. We’re pros in the area of salaries. We can help you perform a competitive salary analysis if needed. We can help you recruit and retain your staff. We’re happy to help. Contact us today.