Ask an Adviser Welcome to EBN’s weekly column in which benefits brokers and advisers answer questions (anonymously) sent in by our readers. Looking for some expert advice? Please submit questions [email protected]. This week, we asked Naden Evans, Director of Growth Marketing at Zenefits, to weigh in on the following: How do we handle employees asking for raises when new hires are assigned higher pay scales to deal with staffing shortages?
As labor shortages continue to ravage dozens of industries across every state in the US, employers are offering more lucrative deals to attract and secure the talent they need. Salary And Workplace benefits. While this means better opportunities for transitioning workers looking to fill new roles, existing employees may question why their compensation isn’t on par with new hires.
These employees are well within their rights to take issue with bringing in staff at their level and making more money. Asking Equal pay All employees need to do comfortably, and most will consider it if they feel they are falling short. This disruption has only arisen as a result of factors including: Great resignation And the global talent shortage, the current state of affairs gives employees more leverage when asking for a bump in pay.
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As an HR practitioner, you will undoubtedly experience recruiting challenges. But while this shouldn’t be seen as an opportunity to benefit employees, it opens the door to a conversation about their contribution and progress.
If the employee asks for a meeting with his or her line manager, it is important to make time to invite them to discuss any concerns. This is a great opportunity to explain their value and why they are important to the business. Employees should not ask for a raise for the sake of it, but if they deserve it, they should be rewarded for their hard work in the form of a higher salary or improvement in workplace perks. Living expenses.
At the heart of this, all HR professionals should aim to ensure that employees are happy in their role rather than feeling cheated or dissatisfied with it. So, if this situation arises, although tricky and inconvenient, it’s worth taking the time to explain why the new hire was placed in his or her current position, as there are legitimate reasons for the pay disparity.
A new employee may have more experience than another employee with the same job title or have slightly different responsibilities. However, at present Recruitment environmentA major reason for pay disparity between two people performing the same job is that market demand for certain skills is low when the first employee is hired.
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From a legal point of view, as an employer, you can legally pay different amounts to two employees working in the same role as long as there are non-discriminatory factors that explain the reason for the difference. This means that ultimately, employers have to decide how much their workers earn, and new hires won’t change that.
As an HR professional, it is important to remain objective and make each decision on a case-by-case basis. As already mentioned, if someone is doing a good job and their contribution to the organization is valued and you don’t want to lose them, a positive resolution is essential.
It could be in the form of salary adjustment, but it could be increasing the employee’s responsibilities or implementing a promotion plan. One of the best ways to improve productivity and drive within your organization is to set goals and schedule regular performance reviews, giving employees clear objectives to work toward to earn the raise or promotion they’re looking for. Not only does this demonstrate that you’re willing to invest in their development, it also shows your team that they have a clear career path in the business.