As salary hikes were muted in the recent past, mid to senior level executives want to make up for this perceived loss at the time of a job change. Expectation of higher salary hike has become a challenge for recruiters this year.
A majority of senior level candidates (62 per cent) are looking for hikes of 20 per cent to 40 per cent over their current salary while considering a job change. This reflects their confidence in the future job opportunities.
The expected salary hike was 10 per cent to 30 per cent last year, finds HR Services firm, CIEL. CIEL finds that despite the insecurity about job and employment prospects in the recent past, the bull-run in the stock market has made them confident to expect better hikes.
Salaries and benefits continue to be the most important push factor for people in entry-level roles and for mid-level roles to look for a new job opportunity. For people in senior level roles, salary and benefits is the second most important push factor after their role in the company. Overall, salaries and benefits has become a significant factor for talent attraction and retention strategy.
The expectation of a high salary rise by senior level executives is also percolating down the ranks and this has become a significant challenge for recruiters to attract talent.
Almost 65 per cent recruiters face salaries and benefits as the biggest challenge before them for talent attraction. Employer branding continues to hold a significant challenge for recruiters as 35 per cent of them are concerned about it.
Companies have increased the notice period for their employees to make it difficult for them to hop jobs and this is the next most important challenge for recruiters to fill vacant positions. Most crucial factors that recruiters discuss while filling a senior level role are financial health of the company, vision, and leadership and work culture.
For a mid level role, the discussion points are career development and job security and when it comes to entry-level roles they are compensation and career development. Least important for them is vision and leadership. However, compensation and benefits are the only factors that are significant for all roles unlike last year.
“The study clearly reflects the current sentiments of the Indian job market. With the evolution of technology and access to information the employee, more importantly skilled talents across levels are more selective about choosing an employer or while considering a change.
“The employers must adapt to the changing dynamics of sentiments and realign their HR strategies to attract and retain the top talent for their organization,” said Aditya Narayan Mishra, chief executive officer, CIEL HR Services.