Posting Salary Ranges: Embrace It, But Don’t Underestimate It
The number of U.S. postings that include salary ranges continues to rise quickly, with nearly two-thirds of employers routinely including this information in job ads. And legal compliance isn’t the only reason behind the increase. Candidates love it, job seekers who want more money can self-select out, and pay transparency aids in the reduction of gender pay gaps.
Sounds great, right? And it is, for those companies that already have proven, internal pay transparency practices. And that’s a big lift if you’re just getting started. Job market analysis needs to be validated, internal ranges need to be calibrated, managers need to be trained, and, most importantly, employees need to buy in. And while salary is important, be sure to promote the full value proposition, which differs for every company. Consider the following advice from an HR professional, “Our Company started issuing individual, customized total rewards statements that include explanations of all of our programs plus position-in-range. It has taken a few years to get there, mainly due to equity issues. We had tenured employees who were low in their ranges and attractive external candidates who were demanding higher salaries. It would have been a nightmare if we posted ranges externally before doing our internal homework.”
We at BOOST recognize that pay transparency is here to stay, and for any company making the switch to include salary ranges in job postings, here are a few tips:
1) Keep your salary range pretty tight, anticipating that candidates will picture themselves at the top of the range.
2) Include the term “negotiable” in the posting if you have wiggle room so that you don’t lose superstar candidates.
3) Be sure to promote your company’s full value proposition to include total compensation, benefits, career development, culture, flexibility, remote/hybrid work, etc. Salary is always important, but it’s not everything!
Need advice on getting started? Contact BOOST for assistance!
