A quick look on any job boards and you will see, some vacancies state salaries, others do not. But which one is correct? We recently posted a poll on LinkedIn asking; ‘Should salaries be shown on job advertisements?’ You may be surprised to hear, the outcome was a resounding yes. 94% of people who answered our poll, believe that the salary information should be shown on job advertisements. However, is this the best way to yield results? We take a look at some of the pro’s and con’s of including salary information on job vacancy postings:
Candidates Want This Information
A Report by LinkedIn found that 72% of professionals want to know a job’s salary as early as the first message from a recruiter. Salary is also one of the most influential factors for candidates considering new opportunities. In fact, it can make the difference between a candidate applying for a position, or not. If information on salary and benefits is what candidates want, it makes sense to display this information up front.
Avoid Wasting Time
Anyone in the recruitment or HR industries knows that the hiring process takes a lot of time. All of the research, emails, CV reading and interviews soon add up. Including the salary in a job posting, is one less question that needs to be answered. It also avoids wasting time speaking to and progressing applicants who will later drop out due to mismatched salary expectations.
Diversity & Inclusion Benefits
Companies committed to diversity and inclusion will benefit from sharing salary ranges. The Gender Pay Gap is a huge area of concern for businesses globally and advertising salary ranges can go a long way to eliminating this. Including salary information in your vacancy postings, builds trust. It also encourages more people to apply. According to Reed, two thirds of jobseekers are more likely to apply when a salary is displayed on a job advert. More interested candidates result in a larger pool of talent and more opportunities to find and hire diverse talent.
When posting salary ranges on vacancy listings, its not just candidates who will see this information. Your competitors can too. Competitors could then use this information to offer more money to your best employees. This is even more of a problem in sectors with niche positions and smaller talent pools.
Less Room For Negotiation
Once a salary has been listed, it will be difficult to negotiate outside of this amount. This may become a problem if the job requirements change. For example, if a role becomes fully remote or requires travel. The preferred candidate may also not be what was originally expected. For example, if an offer is made to someone who fits in perfectly with the culture but has less experience than originally requested.
Upsetting Existing Employees
Salaries are decided depending on an employee’s responsibilities, experience and knowledge. It can also vary depending on other benefits such as a company car, flexible working hours or childcare. When a role is publicly advertised with salary, employees from that business can easily find this information. Without context of why a certain salary is being offered, this could cause problems with workplace morale and collaboration.
When it comes to advertising salary, there is no right or wrong answer. Ultimately you need to make the decision on a case by case basis, depending on what is right for the role. If you do decide to provide salary information in the job advertisement, we would recommend providing a salary range rather than a fixed sum. This allows room for negotiation during the final stages of the hiring process and access to wider a pool of talent.
Harper Fox Search Partners are a purpose led business, providing leadership talent and executive search solutions for the global energy, engineering, manufacturing and utilities sectors. Get in touch today to find out how we can add value to your business.