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Salary Transparency

by | Feb 16, 2022 | Hiring Tips | 0 comments

By Jamie Zananiri

Something many employers struggle with is the idea of listing a salary range on their job ads. Some worry they may be less competitive than other similar employers in their area. Some worry it may cause contention in their office if current staff members see a discrepancy between their salary and what is being offered to new employees. Still others worry they may be discouraging candidates from applying if the salary seems too good to be true.

In some states, in an effort to close the pay gap, employers do not have a choice – employers must provide a salary range to applicants. 9 States (plus 2 cities in Ohio) and New York City already or will soon require pay transparency. At least two more states have legislation under consideration to require employers to be transparent about salary.

Just as you don’t want to be fooled by a candidate that oversells their experience or skill set, you don’t want to be an employer that makes candidates feel tricked by a lack of transparency.

When you’re ready to make a hire, you can save yourself and candidates time by first ensuring you are a competitive employer. From salary to benefits to perks, you have many ways to make sure you stand out from other employers in your area.

If you’re hiring for a sales position that includes commission, you may have current sales representatives that vary in the commissions they win. If you’re unsure how to list a reasonable salary for a sales position, keep in mind that it should be a range of no more than $20,000 difference of what they can reasonably expect to make during their first year.

Once you know you’re competitive- don’t lose out on candidates by not disclosing your salary on your job ads. After “remote,” salary is the most used filter on the job boards by candidates. By not sharing the salary information for the position you’re hiring for, candidates won’t even see your ad in their job search once they chose that filter option.

If you’re concerned about current staff being upset over the salary being offered to new employees, not disclosing it on your job may delay, but won’t prevent them from finding out. Instead, use this as an opportunity to review the compensation packages for your current employees to make sure they are fair.

Candidates aren’t just looking for a job, they want to know they’ll be compensated fairly for their time and knowledge, have a way to advance their skills, and maintain a comfortable work/life balance. Compensation is the most common deciding factor for candidates when deciding on if they’ll accept a new position, so making sure you’re clear about salary upfront is an easy way to keep you and your candidates on the same page during the hiring process.

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