What Employees Want, What Employers Need: Good Hiring Practices In The New Age Of Workers' Rights (Feat. Amanda Augustine, TopResume)
If you’ve been following the news lately, you’ll have seen the numerous headlines detailing what some pundits have called “The Great Resignation.” Doomsayers are lamenting the lack of labor, the difficulty of hiring new talent, and other related challenges on repeat––but the fact of the matter is that there are plenty of talented potential hires out there...if you know how to reach them.
In fact, thousands of people have been applying for new jobs or actively seeking work over the past few months, and smart employers are ready to welcome them onto their teams as soon as possible. But with so many other businesses competing for the best of the best, how can you make your mark?
This article will take a look at some of the challenges, best practices, and latest research behind what it means to hire competitively and equitably as a small-to-midsize business in America. You’ll learn how to get your organization noticed over bigger, more well-known companies, and we’ll explore the things that make employers shine as the best possible option for new, skilled hires.
No One Wants To Work? On The Contrary! Learn To Make Talented Hires Desperate To Work For YOU.
Lately, you may have heard the refrain, “nobody wants to work!” from otherwise well-meaning business owners and employers. Disruptions in the labor market are always stressful, and some people have looked at the shifting worker pool and taken up a rather doom-and-gloom perspective on it.
There’s good news, however––this perspective is statistically incorrect. Right now, as it turns out, just about everybody wants to work. Resignations may be at an all-time high, but those employees aren’t disappearing into a void. They’re out there on sites like Indeed or LinkedIn, resumes in hand, and they’re looking for new, better opportunities that will let their talents shine.
If you’re savvy about your hiring practices, there has never been a better time to gain new team members for your business.
As Forbes’ Lorna Borenstein noted in a recent article, “at first glance, this [situation] sounds terribly demoralizing. But it presents employers with an opportunity to transform their approach to caring for employees, become an employer of choice and safeguard their future.”
Larger companies and their parent corporations tend to have a top-heavy (and male-heavy) hierarchy that doesn’t always leave room for employees’ voices to be heard. This pitfall of success is one you, the small-to-medium-sized business owner, can use to your advantage by taking up the opposite approach.
Ms. Borenstein put the issue succinctly.
“There’s a clear mismatch between what employers are offering and what employees are seeking, and workers have the bargaining power. While most leaders can appreciate the implications, they aren’t taking them seriously enough.”
A smaller and more close-knit team means that small-business leaders can bridge the gap between what employees want vs. what they are being offered on the current market. You can pivot more quickly, communicate on a quicker, more personal level, and reach out to potential hires in a way huge HR departments and recruiting firms can’t.
Recent studies have demonstrated over and over that empathy is the number one quality employees want to see in an employer, and smaller businesses are able to provide that empathetic leadership more authentically than anyone else.
Here are a few methods you can use to communicate that empathy with potential employees during the job-seeking and application process:
Personally reach out to applicants via phone or email, if this information is listed on their LinkedIn, Indeed, or other job-seeking profile. You can even approach people who have not yet applied to your organization but whose stated goals and aspirations match up with your business model and long-term mission.
Be radically different by being radically up-front when posting job openings online. Include pay range, the full list of benefits your business offers, and all other relevant information without being asked. Even if someone is looking for higher pay or different benefits, they may be swayed by your business’ honesty and desire for open communication.
Let applicants talk to current or past employees who have good things to say about you and your organization. Connecting people in this way allows you to back up your claims about being a better, more authentic option for potential hires to consider during their job search.
Don’t sugar coat things for the sake of getting applicants on your postings. This will only come back to bite you later on, and is almost guaranteed to lead toward disillusionment or even resentment when hires find out you painted an overly-rosy image of what their work would be like. Being honest about the job means that the people who apply are genuinely interested in the position and won’t mind the specific challenges and needs the job entails.
Point number two is especially important in today’s labor market. We spoke with career expert Amanda Augustine of TopResume about honesty in job posting––specifically as it relates to payscales.
Many businesses are reticent about including salaries or pay rates in their online job postings, but this is quickly becoming a red flag for potential applicants.
That being the case, why do businesses do this? Amanda was refreshingly blunt about this point.
“In many situations, employers want the flexibility to adjust their offer based on their assessment of a candidate, without being held to a range they previously promoted to the public,” she says. “As with every aspect of a business, employers are trying to keep their costs down by hiring the most qualified candidate for the lowest possible salary.”
Not only is this morally questionable by many young professionals’ standards, but it also means that they are more likely to move toward other, more forthcoming competitors and cross you off their list completely. This was not the case a few years ago, but it is a topic of heated discussion in professional forums today.
The stakes get even higher when you factor in our modern society’s high awareness of pay inequality and social justice. The last thing you want is to be considered an unfair employer––which is illegal, in many cases–or simply a business owner who is too out-of-touch to realize their pay scale is unequal in the first place. Women have become especially vigilant about pay transparency, and for good reason. The pay gap remains alive and well in America and other parts of the world.
“The more transparent employers can be about their pay ranges and benefits to both prospective and current employees, the better,” Amanda asserts. “When companies choose to disclose this information, it creates opportunities to address pay inequity in the workplace. In addition, it attracts candidates who are seeking employers whose values align with their own.”
Learn From Past Employees––Courageously.
If you only ever ask “yes men” (or women) for their opinions about you and your business, you’re going to get flattering answers that get you absolutely nowhere. Good hiring practices are aimed at making potential hires feel good, not managers and CEOs.
All this is to say: you need to get feedback from current or past employees, and you need to allow that feedback to be straightforward and genuine. Even if it’s negative (or neutral). You’re competing for the best employees, and today’s hires are clearly not interested in staying with an employer who doesn’t respect their rights. One of those rights is the right to honesty and open communication in and out of the workplace.
To attract these savvy, eyes-wide-open applicants, you have to stand out as an employer who not only values the kind of honesty that makes you look good, but also the kind that makes you rethink your strategies and practices. And you want to be the kind of employer who values both kinds of honesty equally.
Sound difficult? It is, but it is the only way to get the best applicants and sustain a talented, productive team for the long term.
The rise of forums like Reddit’s r/antiwork demonstrate tangibly––if somewhat painfully, for employers––the reality of today’s labor market. Employees have no more patience for outdated hierarchies or the policing of their voices and opinions in the workplace. While big companies struggle to pivot toward a better, more holistic workplace model, small businesses can make these changes instantly through some honest feedback sessions and an open mind.
“Individuals seek social proof when making decisions on everything these days, from where they’ll get their takeout to where they want to work,” says Amanda. “Monitor the reviews, actively respond to comments, and encourage all employees — especially those new recruits who are still in the honeymoon phase — to post about their experience.”
Whether your past employees quit for greener pastures or left because they were ready to retire, seek them out and ask them for their time and honesty. Take notes, and send them off feeling like they have been truly listened to and respected. No amount of money can buy that kind of value for hires and hirers.
Ms. Augustine has seen the power of positive reviews firsthand, and she considers them an invaluable asset for any business to have. “Ideally, you want to turn your current employees — especially your employee champions — into brand ambassadors for your recruitment efforts. Employee referrals are still one of the best sources of hires,” she says.
It’s priceless, and it will lead to better job postings, better recruitment practices, and a much better workplace culture.
Invest, Invest, Invest...Or Lose A Lot Of Money Down The Road.
There is a time and a place for cutting costs and saving profit. Salaries, it turns out, are unequivocally not the place to do this.
One of the number one reasons, if not the number one reason, for employee dissatisfaction and resignation is poor pay. As the cost of living has risen, many companies have actually reduced the amount they pay out to their employees. Is it any surprise that these employees are now leaving in droves?
The failure of large scale corporations to pay their employees a comfortable wage spells disaster for them, but it can be a big benefit to small and medium-sized businesses. It may sound cynical, but it’s never been easier (or cheaper) to compete with these rivals for the best talent. It may take a bit of restructuring and shifting of resources, but if you can afford to pay better than your huge market neighbors, you can knock them right off their pedestal when it comes to gaining the best, most long-term hires for your organization.
Small businesses can encourage loyalty from their employees in many ways, but no way can match up to competitive pay. No other benefit, “perk,” or aspect of your company culture can make up for a lack of competitive wages, and any efforts made before this area is improved will be wasted.
You may not be able to afford top-of-the-market rates, but if you can get your posted salaries just over that average rate of pay, your culture, authenticity, and empathy can easily make up for the rest.
There are plenty of resources potential hires can use to measure your pay scale against others in the industry. And where professionals are concerned, it’s standard advice to use these resources freely.
“It’s incredibly important for professionals to educate themselves on current market rates,” Amanda advises. “Sites such as Salary.com, Glassdoor, PayScale, SalaryExpert, and SalaryList can help you estimate the appropriate pay range for a particular position, taking into account the organization’s industry, location, and size, as well as your years of relevant experience and education. While this range will certainly not be perfect, it will give you a rough estimate with which to work.”
Again, empathy can bridge many gaps when it comes to professionals’ expected salary and comparable industry rates. Studies have shown that many hires are willing to give up a better-paid job for a slightly lower salary at a company who makes more effort to cherish and respect them. Does that surprise you? It shouldn’t, because you want to be that cherished and cherishing company to the hires applying in your niche.
But this cannot be stated enough: to reach this point wages and salaries must be competitive first. Think of it as a “crossover point” after which you can compete with businesses who pay a bit better but don’t offer anything else. Before that point, it won’t matter how great your culture is or how empathetic you strive to be. People will ignore you, because they cannot afford to work for you.
After you hit the mark on salary, they will be more than willing to negotiate their list of priorities and give you their all throughout the application process and beyond.
Another resource that might be worth investing in is a reputable third-party recruitment agency. There are a plethora of recruiters out there, but not all are truly qualified. Exercise due diligence before bringing anyone on board.
Amanda reviewed some of the pros and cons of third-party hiring help during our conversation.
“A third-party recruiting firm can be especially helpful in finding hires when your existing HR or recruitment teams lack the personnel, resources, and/or expertise to fill particular positions,” she says. “For instance, if you’re looking to recruit an executive for the leadership team or hire several engineers with a highly specialized skill set, it’s often beneficial to partner with a third-party agency that specializes in a particular discipline or industry.
Of course, there are risks to this process as well. She had a few words to temper your search, too.
“When a third party is representing your employer brand to prospective employees, there’s always a chance that it won’t be accurately conveyed,” she cautions. “After all, the agency isn’t part of your corporation and won’t necessarily have firsthand knowledge of your company culture.
Our work culture is changing radically, and you (literally) cannot afford to ignore the hard, increasingly obvious truths about what employees––all employees––now require. Number one on that list is pay that respects the real cost of living in your area, and nothing else can take the place of this priority. So don’t bother looking for ways around it. Still, a good recruitment process is a close second in this priority list, so you don’t want to neglect that option, either.
You can save money in many ways, but not in these two areas––not anymore. To find the most up-to-date market rates for your industry and niche, you can look on sites like Glassdoor, Payscale, or best of all, the Bureau of Labor Statistics website.
These stats should be coupled with an accurate understanding of the current cost of living in your state and/or locality. There are many resources available to find this information, so do your due diligence in seeking it out.
The Undercover Recruiter provides a helpful comparison of contingency vs. retained recruiters in case you are interested in considering the third-party option. Always vet potential third-party help carefully and thoroughly.
Thanks again to Amanda Augustine and our partners at FJR for making this article possible!
This article was made possible by our partners at Foumberg, Juneja, Rocher & Co. They are a financial firm operating out of Los Angeles, California, and are a proud supporter of women-led change. FJR believes that women’s voices shape the world––and that we deserve to have our stories told.
The resource links are being provided as a convenience and for informational purposes only; they do not constitute an endorsement or an approval by the The Fem Word of any of the products, services, or opinions of the corporation or organization or individual. The Fem Word bears no responsibility for the accuracy, legality, or content of the external site or for that of subsequent links. Contact the external site for answers to questions regarding its content. Any content provided by The Fem Word is not intended to malign any religion, ethnic group, club, organization, company, individual or anyone or anything.