DEEP DIVE INTO WAGES

Salary Guide

KEY FINDINGS

RECOMMENDATIONS

ECONOMIC OUTLOOK

U.S. companies are confident about the country’s economic trajectory. Seventy-seven percent of employers believe that their industry is poised for economic growth.

0%
of employers believe that their industry is poised for economic growth.
0%
of employers don’t believe that their industry is poised for economic growth.
85%

PROPERTY / FACILITIES MANAGEMENT

85%

PROPERTY / FACILITIES MANAGEMENT

Employers who believe their industry is poised for growth above the national average (77%)

Economic Outlook

Are these events on your radar? Employers remain optimistic about the hiring environment and this continues to be a trend, where we have seen unemployment at the lowest level in U.S. history for the past 10+ years. This decrease in unemployment has people wondering “how
long can this last?” There is a growing fear that a recession is looming, which could derail this economic expansion.

There are a number of events that could impact the economy and hiring outlook. Below are some threats that employers should be aware of.

  1. Trade war with China: This has started to impact industries globally, causing employers to shift their strategic direction.
  2. Weakening of global markets: We see this already occurring throughout Europe and may accelerate as the final resolution of Brexit is pending.
  3. Political uncertainty: This could lead to business uncertainty until after our next presidential election.
These threats contribute to the general feeling that a recession is on the horizon. For most business leaders, these are beyond their control. As employers look at their own companies and needs for talent, they continue to see plenty of work ahead and not enough people to complete the jobs in front of them. The hiring demand is apparent, but the skills gap is wider than ever, putting pressure on companies to stand out to attract top talent.

WORKFORCE AND HIRING TRENDS

Businesses are confident about the market’s near future, however employers are still cautious about hiring. Though 50 percent intend to increase full-time headcount in the next 12 months, that number is lower than last year’s forecast of 53 percent. Meanwhile, 23 percent of employers intend to increase temporary or contract staff and less than a quarter have no plans to hire them at all.

Employers planned temporary and contract hiring activity
0%
of accounting & finance hiring managers have increased temporary/ contract staff headcount in the last 12 months

What are the main reasons your team uses temporary or contract workers?

  • Specialized Skills
  • Unexpected Workload Increase

  • Short-Term Volume Hiring

Identifying and recruiting the right talent

How do employers narrow down their candidate pool and hone in on quality workers? Employers are increasingly aware that hard skills alone are not enough. Success in today’s knowledge economy relies on employees who can work collaboratively on cross-functional teams to design innovative, out-of-the-box solutions ahead of the competition.
When sourcing “quality workers”, our recruiting experts assess a candidate’s ability to communicate their contributions to previous teams, their enthusiasm about an upcoming job opportunity, and their approaches to problem solving. Additionally, a quality hiring process is equally important. Top candidates field offers from several employers and have a lower tolerance for long hiring processes.

WORKPLACE SATISFACTION

EMPLOYEE SATISFACTION LOWERS AS SALARIES STAGNATE

Approximately half of all respondents are currently satisfied in their role, yet this year 61 percent of respondents expressed serious interest in leaving their current role. The main reasons? Rising expectations about compensation, development opportunities, and the maintenance of a positive company culture.

workplace satisfaction

What are the main reasons you are considering leaving your current role?

27%

Salary/total compensation

24%

Career growth opportunity

12%

Company Culture

58%

of all respondents have no health and wellness activities offered at their workplace

What’s the recipe for a great company culture

What’s the recipe for a great company culture? While salary is the top variable in the retention equation, it’s not the only one. Over half of employers said they would consider going outside their budget to secure new talent but what are they doing to retain current staff? Although raising salaries of current employees can help with retention, shifting focus to building a stronger company culture can also improve turnover. Here are some
initiatives to consider.

In the modern workplace, health and wellness is becoming a priority for employees. From offering healthy snacks and fitness classes to group meditation, there are plenty of options to choose from that will keep your employees pleased and healthy.

A clearly defined purpose, employee appreciation, and the maintenance of a respectful environment helps create a happy and engaged workforce.
Motivated employees are not content to do the same job forever. Develop formal plans for career advancement so employees look internally, rather than externally, for new opportunities.
Motivated employees seek meaningful feedback, and annual reviews do not provide this dialogue often enough. Introduce monthly touchpoints for managers to discuss progress and areas of improvement for direct reports.

SKILLS SHORTAGE

84%

of employers suffer from a shortage of skills in their industry

How has your team been negatively affected by the skills shortage?

skills shortage
skills shortage

of employers have offered internal classroom or online training to upskill their staff in the past 12 months

25%

Interestingly, there is a mismatch in soft skills among employers and employees. While 63 percent of employers say communication is the priority soft skill for employees to have, 46 percent of employees report that they are actively working on their leadership skills. This presents an opportunity for employers to communicate which soft skills they need most from their employees to achieve better alignment.

Soft Skills

Top tips for assessing soft skills in an interview

Asking these open- ended questions let candidates speak to their individual experiences in their own way. For example: ‘Tell me about a time when you had a challenging situation with a colleague and what did you do to communicate properly?’ Or, ‘What would you do if your team members disagreed with your instructions?

When conducting reference checks, consider asking them to rank the soft skills that best reflect the candidate. Hearing their perspective will help you gauge if the candidate has the right mix of skills you are seeking.
There may be fewer people entering the workforce, but this isn’t the only reason employers are experiencing a skills shortage. Employers are often tempted to look externally for new hires and this year, they reported they were willing to pay more for new hires than increase salaries for existing staff. When external searches come up short, companies should consider cultivating their internal human resources.

Top tips for tackling the skills shortage

A quarter of employees say lack of development opportunities is a source of job dissatisfaction. Offering training opportunities addresses the skills gap, while also contributing to employee satisfaction.

Round out your team’s skills with temporary and contract workers. Contingent workers can provide a faster and more efficient way to add the right skills to your team. Also, consider partnering with a recruitment agency so you can tap into a larger pool of reliable workers with a track record of completing contracts.

Ongoing engagement with candidates is necessary to find top talent in today’s job market. It is also important to streamline your recruitment
pipeline. Highly qualified candidates accept multiple interviews and may not hold off on other opportunities while employers work through a lengthy hiring process.
Passive candidates are highly valuable in a candidate short market. They may not be actively seeking jobs, however that does not mean they are
not available. Consider attending networking events and leveraging your social media channels to connect with these potential candidates.

COMPENSATION AND BENEFITS

This year, 74 percent of employers said they would consider going outside their budget to secure new talent. That said, 44 percent of employers have no plans or are unsure about raising the salaries of current employees above the rate of inflation. Interestingly, most companies are willing to pay for new workers, rather than investing in their current staff.

compensation_and_benefits
top 3 benefits
top_3_benefits

Flexible working options companies currently offer their employees

top_3_benefits_II

How flexible is your company’s working arrangements? Forty-six percent of employees said flexible working options was one of the most important benefits to them. Options such as remote or compressed working hours give employees the ability to balance their schedule, allowing them to work from anywhere at any time. Fortunately, a growing number of employers are starting to meet.

RECRUITMENT AND RETENTION

COMPANIES ARE FIGHTING THE WAR FOR TALENT ON SEVERAL FRONTS

When managing the skills shortage, employers must also contend with the war chest of competing companies. Over 46 percent of companies reported local competition for talent and compensation packages as their biggest recruitment challenges. An increasing number of employers are competing over an ever-dwindling candidate pool. That said, hiring mangers will want to be swift and decisive during the recruitment process to secure the best talent.

31%

of employers expect to hire 2-4 people in the next 12 months

whats_your_biggest_hiring_challenges
which_recruitment_channels
recruitment - Retention

How can employers attract top talent beyond compensation? With the looming skills shortage, employers are being forced to increase salaries to attract and compete for top talent. Although salary can be a strong motivator for job seekers, here are some tips employers should consider that
go beyond the customary salary increase solution when attracting candidates.

If you are not in a position to compete on salary for talent, consider boosting your compensation package. Offer more vacation time, flexible schedules and include unique perks like massages and a pet-friendly environment. Perks such as these contribute to employee work-life balance and are still extremely valued by  candidates when choosing a place of employment.

Candidates want to work for companies that have a thriving culture. Highlighting the offerings you provide can often help outweigh the paycheck. Demonstrating that you care about health and wellness or participate in corporate responsibility initiatives can be fulfilling to prospective employees. This will also help retain the talent that you worked so hard to recruit.

Consider establishing an employee referral program to incentivize current employees to make recommendations for potential new hires. Candidate crowdsourcing is an effective way to find top talent who are often a better fit compared to those found on traditional candidate sourcing channels.

EMPLOYER VALUE PROPOSITION

THE IMPORTANCE OF A STRONG EVP

Employer value proposition (EVP) is an internal statement that represents the value employees are expected to contribute and the value they can expect in return. Having a strong EVP showcases what you stand for, and communicates to employees why they should be proud to work at your company. Does your company stand out? An EVP should clearly convey the essence of your company, yet 71 percent of employees are unsure what their company’s EVP is.

employer value
diversity and inclusion

Thirty-five percent of employers say they are using their company culture to promote job opportunities. Here are some tips companies can consider to stand out and boost their EVP.

Highlight your benefits: Is it clear to the average job seeker why they should work at your company? Provide compelling reasons why people should bring their talent to your company.

Present clear values: It’s hard to stand out if you don’t stand for anything. Clearly stated values create alignment and attract like-minded people.

Offer a strong mission statement: What goals does your organization want to achieve, and how do the various departments come together to achieve them?

Share your unique EVP: Celebrate the uniqueness that sets your company apart. Encourage staff to share stories and photos through social media and strive to make your EVP more than just a slogan, but rooted in your company culture.

DIVERSITY AND INCLUSION

DIVERSITY AND INCLUSION STRENGTHENS COMPANY CULTURE

Seventy-one percent of respondents say working in a diverse, inclusive organization is a priority. That said, 42 percent of organizations do not have a dedicated diversity and inclusion staff member. Moreover, 53 percent of employees are not aware of any diversity and inclusion policies within their place of work.

diversity and inclusion

IMPACT OF TECHNOLOGY ON RECRUITMENT

THE RISE OF BIONIC RECRUITMENT

The increasing volume of data and the tools for managing it have transformed processes that traditionally relied on human decision-making. The recruitment process is no exception. Artificial intelligence and machine learning will impact how companies recruit and retain candidates by introducing efficiencies and streamlining the time-intensive sourcing and screening process.

top hiring technologies

Although many employers are using standard application tracking systems (ATS), it is important to note that solely relying on these tools could lead to significant candidate loss rates. In the future, companies will turn to technology such as AI-powered pre-interview screening and predictive analytics for more successful hiring. Perhaps the most interesting development will be the convergence of human processes and technological innovations. Rather than eliminating the need for humans, technological advancements will increase the importance of personalized recruitment activities such as engaging and connecting with the best candidates.

recruitment
recruitment technology

Navigating the recruitment technology landscape

The recruitment world is changing, and technology is contributing to this transformation. Recruitment tools such as automated pre-screening interview questions and freelancer marketplaces will change how employers hire, while AI – or more specifically machine learning – will change who employers hire.

How can employers ensure a competitive edge?

  1. Find tools that streamline high-touch processes like sourcing and screening
  2. Conduct a competitive analysis to understand the technology roadmap of your industry peers
  3. Work with a recruitment partner to stay up-to-date on the latest technology
  4. Take a modular approach to technology transformation by identifying specific recruitment processes suitable for new tools

SALARY TABLES

salary tables
salary tables