are your compensation packages competitive?

Given the significant transformations witnessed in workplaces over the past year, retaining experienced and knowledgeable staff has become increasingly crucial.

To ensure your organization's success and resilience, it is essential to offer a competitive employee compensation package.

This is not the moment to economize on employee salaries if you intend to position your organization for future success.

signs your employees are underpaid employee turnover is unusually high

The primary and most evident indicator that your employee compensation packages fall below market standards is the swift departure of your employees when they encounter better-paying job prospects.

While non-monetary perks and benefits can partially compensate for lower salaries, the base salary remains the cornerstone of most employees' compensation packages.

If their salaries lag behind market rates, it's highly likely that they are actively seeking opportunities where they can receive fair pay.

If your organization consistently experiences low employee turnover, it's imperative to closely examine employee salaries and ensure they align with the prevailing market standards.

your employees don’t seem engaged in their work

Employees have a keen sense of whether their employer values their contributions, and salary plays a crucial role in gauging this appreciation.

A low salary serves as a clear signal that their efforts are not respected, fostering a sense of unappreciation and undervaluation among employees.

This lack of recognition often translates into disengagement from their work, resulting in suboptimal performance.

When employees merely go through the motions and exert the minimum effort, it can negatively impact the overall productivity of your organization.

Moreover, this disengagement can spread within their team, potentially creating an unhappy or toxic work environment for the entire group.

it’s been a while since you performed a salary review

How frequently do you evaluate your employees' salaries and ensure that your compensation packages remain competitive?

It's important to note that in high-demand fields, salaries can escalate rapidly, often outpacing inflation.

If you've been maintaining a status quo by providing employees with modest, inflation-based salary increases over the past few years, it's possible that some of your key personnel are now being underpaid.

A salary that was considered fair or even generous just a couple of years ago may no longer align with current market standards.

If it has been over a year since you last conducted a salary audit, you might be taken aback by the significant shifts in the job market.

Uncertain about prevailing salary rates in your region?

You can gain insights by downloading our most recent salary guide, which provides salary data for a wide range of job titles and locations across Canada.

you’re having trouble recruiting

Providing a salary that falls below applicants' expectations sets your recruitment team up for challenges and potential failures.

Job seekers are well-informed about their market value in today's job market, often utilizing freely available online tools to evaluate the worth of their specific skills and expertise.

If your salary offer doesn't align with the appropriate range, prospective candidates are likely to explore other opportunities.

Even if you do manage to hire candidates at a lower rate, there's a significant likelihood that you'll have to settle for individuals with less experience or fewer skills, as higher-paying competitors have likely already considered and passed over them.

As these less-experienced hires gain expertise, they are likely to pursue higher-paying roles elsewhere, creating a recurring cycle.

The continuous costs associated with frequently replacing and retraining employees quickly outweigh any potential cost savings, ultimately undermining your objectives and tarnishing your reputation as an employer.