It’s not just about the pay package

Jo Faragher

Salaries are on the rise for both temporary and permanent placements, yet at the same time, business advisory firm CEB reports that pay alone has less of a lure than it used to.

The company found that pay was a priority for less than half of respondents when looking for a new job, while the main reason for people leaving work was lack of career opportunities, not because they were after a higher salary.

So what does this mean for recruiters and their clients? It’s time to look at the whole package. Of course it is still important to make sure that the salary is a fair one for the role, referring to benchmarking data and keeping an eye on other similar vacancies.

But at the same time, look into what competitors offer above and beyond salary. Look on referral sites such as Glassdoor and LinkedIn – what do current and former employees rave about when they discuss that company? Was it the fact they were able to enjoy a secondment and broaden their expertise, or access to a professional qualification? Or a culture where they felt valued or could work flexibly?

At interview, candidates will quiz potential employers about the ‘softer’ issues like these because they want to be able to make the right long-term decision. And if there are multiple job offers on the table, all offering a similar salary, these things may make all the difference.

From an employer’s perspective, too, ensuring the attraction package is broadened out with potential development opportunities and a clear career path will help identify those most suited to that company, as they will be able to envisage themselves in that role and communicate that.

A further factor CEB identified in the declining importance of pay in attracting recruits was the fact that millennials – the new generation of employees – place far more focus on doing a “meaningful” job than one that will earn them lots of money on which to retire.

Surely this is a positive trend – that the attractions of work lie more in what we do than what we earn. But creating a recruitment package that offers both a reasonable salary plus individualised development opportunities or cultural benefits on top is not as easy as it sounds. It’s up to recruiters to work with clients to make sure they get it just right.