Posted by David Jones on 06 May 2015
To retain high calibre staff in today’s competitive market, it is essential to stay up to date with salary packages. Gain some valuable insight into current remuneration trends with the latest Robert Half Salary Guide.
Technology: Upswings and increases
Tech remuneration packages are expected to be robust in Australia this year, with 48 per cent of firms planning to grow their IT teams and 50 per cent looking to increase salaries of their current IT employees. What’s more, 82 per cent of IT leaders intend to pay bonuses with 24 per cent looking to adjust levels upwards.
There are two main factors influencing the momentum in IT salaries and bonuses, firstly high confidence among Chief Information Officers (CIOs) who believe their businesses will achieve growth this year. The second are concerns over finding suitable IT staff.
Finance and accounting: A competitive market
The ‘War for Talent’ continues into 2016, as business leaders are faced with the twin challenge of a specialist skills shortage and retaining top professionals. Almost nine in ten (89%) CFOs and financial directors find it challenging to source skilled finance professionals. Top candidates, who possess much sought or hard-to-find skills, regularly receive multiple job offers and are in a strong position to negotiate starting salary.
Companies realise competitive remuneration packages are essential to bring in the necessary talent. In order to attract and keep top financial talent on the payroll, proactive companies are therefore adjusting their remuneration policies to ensure their offers match or exceed averages in their location. Two-thirds of Australian companies say that salaries for existing finance employees will rise in 2016. Across the board, bonuses are also being enhanced to retain professional staff with 40% of Australian finance leaders increasing bonuses.
Administration and office support: Steady demand
As the commercial environment becomes more complex, demand for administrative and office support professionals is steady. However recruitment managers all too often, and erroneously, think there is a large pool of available administrative talent, but reality shows that companies continue to compete for the best talent in various professional fields ranging from office management or customer service through to human resources.
In today’s employee driven market, 58% of Australian office workers are likely to look for a new job in the coming months with almost three quarters (73%) of Generation Y on the lookout for a new role. Although salary is not the only factor to consider, offering salary increases may well make the difference. The importance of a well-developed employee retention strategy cannot be underestimated in an economy where the demand for specialised professionals exceeds supply.
Non-salary enticements and workplace incentives
If you can’t provide salary packages that match your competitors, put the focus on non-salary enticements. Non-cash benefits are playing more of an integral role in hiring and staff acquisition and retention plans – proving cost-effective to the business and also satisfying employee preferences for work-life balance. The Robert Half Salary Guide found that telecommuting, flexible hours, and additional holidays are among the most popular benefits. For some candidates these non-cash perks can be more appealing than, say, an increment in bonuses.
Overlaying this framework, is the need to provide clearly defined paths for career development. The key is finding the right balance between what is viable for the business and what appeals to high calibre employees.
Businesses hoping to hire and retain quality staff should also be offering clear opportunities for further career advancement. Provide candidates with access to unique learning and development programs and highlight unique employer value propositions to engage with skilled professionals.
Download the Robert Half Salary Guide to find out more hiring and remuneration trends.