Salary is no longer enough for candidates

By

Anna Dickson

January 5, 2018

January 2, 2018

Offering a high salary to attract top talent is no longer the be-all and end-all according to our latest report.

Our latest report ‘The Art of Securing Your Preferred Candidate’ surveyed 2,000 individuals who had changed jobs in the last three years. We found that the majority (56%) have turned down a position because a better ‘all-round offer’ was available elsewhere.

56% of candidates have rejected an offer after receiving a better one elsewhere.

This has clear implications for any company considering what its overall job package looks like to a potential recruit. Beyond pay, they need to think about perks, such as holiday entitlement and company cars, but also career progression plans, investment in employee development and flexible working arrangements.

A candidate’s decision is also likely to be affected by your brand image – can your organisation present itself as a market leader? If not, you may want to portray yourself as an up and coming ‘challenger’ brand. Either way, companies will want to seize the initiative and ensure they are not seen to be falling behind – especially when it comes to modern working practices.   

Modern working practices

According to the candidates we surveyed, one of the biggest reasons for employees to turn down a job with higher pay was a lack of flexible working hours. Almost a third (32.6%) were willing to walk away if the job didn’t provide them with the work-life balance they were seeking. In such a candidate driven market, employees are less tempted by larger salaries, and more tempted by work-life balance.

To maintain this work-life balance, remote working is popular flexible benefit. This growing trend requires organisations to offer an assortment of tools, which can range from remote collaboration software to 24-hour access to company systems.

Career progression

Before accepting a job, many candidates will also want to know where a position could eventually take their career. It’s important, therefore, that organisations clearly communicate their working culture, what learning and development programmes and career progression opportunities.

In separate research, the recruitment company Hays found that almost two thirds (62%) of candidates are prepared to take a pay cut to achieve a better cultural fit. Given this significance, it’s worth ensuring that the company ethos around personal development, and any supporting training benefits, are clearly highlighted on a company’s own careers site.

Benefits

Our research also found that another major factor in the decision-making process was the benefits on offer in addition to pay. More than one in four candidates (26.8%) said they had turned down a higher paying job offer because the benefits package was considered inadequate. 

Better annual leave entitlement, health coverage and perks all make for a more enticing package, however, it’s more than that. They also help to create an impression that the organisation is looking after their employees’ needs more generally.

The whole package

There’s no doubt that the salary or wage on offer will act as the headline figure that grabs a candidate’s attention. However, before committing to a company, there will be lots of factors that they will consider before making their final decision. Everyone wants to work for a company that looks and feels successful, but they also want to know that they will progress in their career, and that the company will take care of them properly.

It’s vital therefore, that organisations have processes to help this happen, and that systems are in place to facilitate this. It’s also just as important though that this is clearly communicated, and any prospective employee is fully aware of this before they make their next employment decision.

 

 

 

Download the full report

To discover more about NGA ResourceLink

About the author:

Anna Dickson

Product Manager - Talent Management

Anna is a Product Manager specialising in all things talent management. Anna brings an understanding of the changing needs of the market and the user, in order to ensure the software evolves to meet the needs of HR and recruitment professionals.

All blogs in:

Recruitment

RecruitmentSalary is no longer enough for candidates

By

Anna Dickson

January 5, 2018

January 2, 2018

Offering a high salary to attract top talent is no longer the be-all and end-all according to our latest report.

RecruitmentWhy social media STILL isn’t your top hiring channel

By

Anna Dickson

February 14, 2018

December 13, 2017

Industry experts have been suggesting social media will become the pre-eminent hiring channel for years. But it hasn't happened yet. Our latest research 'The Art of Securring Your Preferred Candidate' sheds light on why.

RecruitmentWhy your talent pool will actually be BETTER under GDPR

By

Nicholas Eaton

December 6, 2017

December 6, 2017

With the General Data Protection Regulations (GDPR) coming into force in May 2018, is this actually an opportunity to improve your talent pools?

RecruitmentHow self-service will lead to a more engaging candidate experience (and promote GDPR compliance)

By

Anna Dickson

November 30, 2017

November 27, 2017

Are there certain aspects of recruitment software that we use today that can actually promote GDPR compliance?

Recruitment3 Things HR NEED to know about Google for Jobs

By

Nicholas Eaton

October 25, 2017

October 24, 2017

Google for Jobs could be the biggest shake up in the way candidates apply for jobs since Indeed first started scraping job boards back in 2004. Currently only available in the US, Google for Jobs is likely to roll out to the UK market in the coming months. So what is it, how does it work, and how can you make sure your jobs appear on what will surely be the new starting point for any candidate searching for a job?