Most candidates when searching for jobs end up applying for positions that pay a lower salary. As business consultants , we often help our clients with their recruitment process and even work with a partner who offers a service of posting job ads for them on a number of tried and tested job boards.
As a result, we have posted numerous advertisements and have done quite a bit of split testing to perfect the process. One of the things we noticed is that when we have run ads for the exact same position – with an identical job description – but at different salaries, we have received more applications on the one with the LOWER salary.
Why would people apply for a job with lower salary?
Well it has to do with confidence. Many business owners/employers have become proficient in destroying the confidence and self-esteem of their employees. As a result, the job market has become rife with candidates whose own estimated worth is far lower than they are actually worth.
It has also meant that you have many talented people who are desperate to escape from a role that is simply not right for them. You can change this in your own business by implementing good practices to manage your team. Incorporating the following steps into your recruitment process will not only get you great employees, but you can also keep them for longer. It is all about creating a more nurturing environment for them.
Steps to Add to Your Recruitment Process:
Step 1: Post a job ad with a lower salary as well
First, post your ad for a lower salary than you think you would normally pay for this job and post one at the higher salary too. You are more likely to attract a larger pool of candidates – as we have seen in our numerous ad posting – so you will have broader choice.
Step 2: Interview candidates and compare
Once you have found someone you think is a winner, interview him or her closely and see how he or she stacks up against those who are demanding a higher pay. How do their qualifications compare? How does their experience and ability to talk about their work compare?
You might be surprised to find someone far better in the lower-salary group. We usually get our clients to use the 4-hour recruitment process to get their business in front of more potential employees – so that you can find someone who is really suited to the position.
Step 3: Increase their pay
The key, however, is that once you have gotten them in your business, and they have proven their worth – you then need to increase their pay! Make sure that they are being paid more than what the market would offer so that they will never leave. This is a great incentive structure because not only are you incentivising with money, but the pay raise is also praise.
You are encouraging them by indicating that you see their worth and that you are willing to pay them to keep them. That kind of encouragement and self-esteem building is invaluable – and will earn you loyal employees every time. We have seen it happen time and again, and it is a really simple process to implement in just about any business.
Of course, you cannot just increase their pay to keep them. This particular strategy should be used along with a robust recruitment process, an effective team management system, effective communication and meetings with your team, and careful attention to your company culture if you want to be absolutely sure of retaining employees.
If you would like to discuss any of the points covered here, please feel free to request a free call below.