Pay Transparency: Good for Business, Great for Executive Food & Beverage Recruiting
Keeping salary discussions “hush hush” until you’re ready to make an offer?
Discouraging your employees from discussing salary with one another?
You could be doing your food & beverage organization a huge disservice. In the modern workplace, pay transparency is an important recruiting and engagement tool. Here are just a few of the reasons to be a window, not a door, when it comes to pay:
Pay Transparency: Business Benefits
Fair, transparent pay makes employees happier. According to research from PayScale, Inc.:
- Employee satisfaction is impacted by fairness in salary 5.4x more than by actual pay amounts.
- Transparency in pay is consistently a “top factor” in employee happiness and satisfaction.
And, thanks to sites like Glassdoor, employees can easily find out what you and/or your competitors pay. If you take a “cloak and dagger” approach, employees may wonder what (and why) you’re suppressing information.
Pay Transparency: Recruiting Benefits
While withholding pay information may give you a negotiating advantage at the job offer stage, top talent in today’s employment market want compensation information upfront – and pay transparency provides these additional recruiting benefits:
- Time savings. Posting a salary range allows candidates who are grossly over- or under-qualified to self-select out of the process, saving your recruiters time and money.
- Better job posting performance. Job postings that include salary information perform better than those without it. In fact, many candidates won’t apply to a job posting that doesn’t include at least a pay range.
- Doing the talking for you. Research from Glassdoor shows that more than two-thirds (67%) of U.S. employees are not likely to apply to an organization where they believe there is gender pay inequality. If you show that you pay fairly, the facts will draw talent to you.
Our recommendations on fair and transparent pay?
- Make sure you’re paying competitive salaries that factor in variables like talent supply and cost of living (we recommend sites like CNN, Sperling’s, Bankrate and Salary.com).
- Share your pay transparency plans with your team, updating them on the progress and challenges you face and addressing issues in an honest, upfront manner.
- Maximize the benefit. Build your culture and employment brand by addressing and promoting your approach on social media, your career site and job board, as well as anywhere else you engage with talent.
Need food & beverage salary information or advice?
Contact Kinsa’s food industry executive recruiters. We have the insights and expertise to help you create compensation packages that attract and retain great talent.