Inflation and equalization of the salaries

While until now employers had a predetermined budget determined based on the company’s payroll and payroll reports, when taking up the topic of recruiting a manager, now they come up with the question: “What budget should we assume for this position?”

Let’s put aside non-wage motivators and talk about money.

The vast majority of candidates we approach with a job proposal to consider, expect at least a salary equalization with the inflation rate. Therefore, we should take into account the candidates’ financial expectations at a level of approximately 20% higher than we assumed. However, this is a very large generalization. Some industries are growing more dynamically than others, and the wage range is often very wide.

A good practice, that we use in recruitment, is to conduct market mapping, which, before starting the search for candidates, gives an answer about the financial expectations for a specific position, in a specific region of Poland / the world.

This topic, however, is much more serious. It raises the question – facing the upcoming economic crisis, can employers be able to equalize salaries?

Because there is no doubt that talents should be kept in the organization.

Monika Ciesielska
President at IMSA Search Global Partners. An experienced consultant in the recruitment of the management staff, including board members, and a leader of the recruiting team in the IT/Tech area. Enthusiast of digital transformation of HR processes. Podcaster at "Skrzydlaty HR" and "Top Leaders Club".
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