Compensation is King: Attract Top Talent with Competitive Salary Offers

A recent LHH survey of 500+ employees and job seekers in the U.S. confirmed the longstanding belief that compensation is the number one factor driving employee attraction and retention.

44% of job seekers said “opportunity for increased compensation” was the highest driver of their decision to take a new job opportunity. Another 44% said that “increasing compensation” was the most important thing a company could do to attract and retain them.

In the same survey, 40% of respondents said the biggest challenges to talent attraction and retention in the coming year were more competition to secure the best talent (40%) and higher employee turnover (38%). In this competitive hiring landscape where compensation is king, knowing the difference between a decent offer and a winning one is absolutely critical.

Knowing is important, but so is showing.

Additionally, the trend towards salary transparency in job postings continues to pick up steam. In fact, in some states, it’s even a requirement. Research from SHRM showed that job seekers are overwhelmingly drawn to postings that list the pay range:

• 82% were more likely to consider applying to the job if the pay range is listed.
• 74% were less interested in applying to job postings that do not list a pay range.
• 73% were more likely to trust organizations that provide pay ranges in job postings.

How has that worked out on the employer side? It has led to higher candidate quality:

• 70% of organizations that list pay ranges in job postings said it led to more applies.
• 66% of organizations said that it has increased their applicant quality.

By sharing salary ranges, you can attract good candidates who may not have otherwise applied. On the other hand, if other candidates are looking for more money, at least you don’t waste your time going through the interview process only to be rejected when you make an offer.

However, although posting salary ranges is important, posting accurate and competitive salary ranges is essential. Only when you have a good grasp of the correct salary ranges for your industry, locale, and the skills and experience required for the job, can you develop your talent attraction and retention plan and empower your hiring managers to deliver on your strategy.

Have the posts with the most up-to-date salary info.

At LHH, we not only take great care to source the most reliable and current salary data for you, we also take a consultative approach to presenting it. Our recruitment solutions experts have extensive experience in and knowledge of your organization's local job market(s) and can help you pinpoint the right salaries for every position you need to recruit for and retain. In addition, we can also help you develop a strong non-comp benefits package, or take the entire process off your hands! 

As long as competition for top talent remains fierce, and attracting and retaining great employees continues to be a priority, you need reliable salary information. That’s why we offer our salary information to you completely free of charge. We hope that this data–coupled with the knowledge and advice of our recruitment consultants–will help create faster and more compatible connections between employers and job seekers.

Get the salary info you need to improve your salary offers and establish yourself as an employer of choice—download your free copy of our 2024 Salary Guide now.