Compensation is a critical component of recruitment and retention for employers in Delaware. It’s important for employers to benchmark salaries and ensure they’re paying competitively.
Professionals with in-demand skills have options in today’s talent-short market. Offering an attractive salary or compensation package could be the key to securing the best employees – and keeping star performers on board.
Employers may be hesitant about publicizing salary information because it can bring inequities out in the open, prompting difficult or awkward conversations. They may also worry competitors will poach top talent by offering higher pay. However, if you are going to implement an open salary policy, there are certain areas that need consideration.
Compensation is a touchy subject
Some companies may be sensitive to the fact that people don’t want their salary information shared. Employers may be hesitant about publicizing salary information because it can bring inequities out in the open, prompting difficult or awkward conversations.
Poaching from competitors is possible
If you are considering making salaries/pay public, be prepared that a competitor might start poaching your top-talent. Once they know the compensation, it is easier to make a competitive offer.
Productivity might increase (initially)
When employees know what others in the organization make, it can increase productivity. They might look at it as motivation to work extra hard for a raise.
If done right, it can help boost recruitment and retention
Professionals with in-demand skills have options in today’s talent-short market. Offering an attractive salary or compensation package could be the key to securing the best employees – and keeping star performers on board.
The most important aspect: building trust
Executives to our survey said the biggest benefit of an open salary policy is creating an atmosphere of trust. Some companies choose to be transparent with their pay because they want to establish an open conversation around performance and compensation.
