CORE Compensation and Benefit Survey

The base of smart HR – salary research

 

To what extent do you think HR can determine how to give you a salary offer? How much is it possible to feel the oscillations in the salary market? Are you creating an offer based on what your employees are asking for? Are you making an offer to new employees you want to hire based on what others have asked for? How realistic do you think these demands are?

 

Often, offers to employees are created based on their wishes, and the reasons for this are mainly: “we need it, there aren’t many of them on the market, so let’s give him/her what he/she asked for”. To what extent are these demands actually realistic and ultimately sustainable for employers in the long term? We all already know the attitude of “developers” who can ask for all kinds of incredible things to change jobs. Setting such standards puts employers in a situation of sustainability, because we know that the salary budget is the largest within companies. Let’s be clear, workers’ rights are very important, as well as the conditions in which employees work, which need to be as good as possible and adapted to employees.

 

The labor market is currently in chaos. We are talking about the IT market in particular. For years now, it has become unknowable how much an employee could earn for certain positions. Managers being paid less than developers is becoming a reality more and more. A similar situation occurred when large banks entered the Serbian market in the early 2000s, the banks were competing to give a higher salary to a new employee, there was more work than staff, and it was only important to hire a workforce so that the work would not suffer.

 

Which brings us to the main question – How does one sort out this kind of chaos? It’s very simple – through salary research, that as many companies as possible will participate in. Just by participation alone, all companies would provide insight into the salaries of their employees and thus create a clear salary range for each specific position without revealing how much each company pays for certain positions. The benefits of such research, on the one hand, will be clear information on the positions which are actually paid for on the market, while on the other hand, it will provide a clear framework for the offers that companies make to employees. So not only will companies know how much a particular position is paid in the market, but they will also know approximately how much other companies will be offering. When there is one such relevant piece of information, it is only a question of the moment when the offers will stabilize and become very predictable, without large oscillations.