Salary Survey: ‘No way’ or ‘Powerful business tool’?
Most organisations, when asked to participate in a salary survey, don’t want to know – or, if instructed from on high, do it grudgingly. We’ve heard all the reasons why not – the most common being ‘why should we give this information away to our competitors?’, but without it you could end up losing out in a big way.
We all know that pay isn’t the primary reason people accept a new job, there’s much more to it than that. They’re looking for a challenge, security, a team where they’ll feel valued and enjoy working and more. However, if the pay is low the chances of them looking elsewhere are high.
How salary surveys help your business to grow
Taking part in a salary survey usually gives you access to the results (and you need to make sure you know how long it is before these are published – the longer it is, the less current the data will be). What will you learn?
What the market rates are for a range of positions. So what?
- You can check where you are in comparison to find out if you’re paying competitive salaries for the roles in your organisation.
- You can keep in step with the marketplace so you don’t lose out on great staff when you’re recruiting.
- It gives you valuable information to design pay structures and salary ranges.
- You’ve got a better idea of what your competitors are paying and the variation in pay in different locations.
- You’ve got realistic data to cost projects that are coming along in the near future.
If you’re paying competitive salaries, you’ll get the pick of the talent – and this is particularly important when you’re recruiting IT staff. They’ve always been on the high end of pay scales due to the complexity of their technical skills, but with the right information you’ll know how to avoid paying over the odds, while still getting the best people available.
Projects are known for being budget-benders – particularly IT projects as glitches in the project’s progress usually need more money to fix than was originally estimated. One of the biggest costs are the staff – particularly contractors – that are needed to deliver on time. Knowing what the going rates are for contracting staff will help to ensure that the original costings are based on fact, not guesswork.
Speaking of facts – of course, you can go online and get some of this data, but without the information on how, when and from whom it was gathered, it’s about as reliable as your best educated guess. If you rely on it you can come badly unstuck!
The moral of this tale is, of course, that the next time you get asked to participate in a salary survey, grab the opportunity in both hands, it will make a significant difference to your business success.
Find out more about recruiting the best tech expertise (and pick our brains about current salary levels), call us on 020 3762 2020.