The salary transparency debate

As a seasoned recruiter in the MedTech and HealthTech sectors, I have been keeping an eye on job advertisements for quite some time now. Lately, I have observed a concerning trend - several companies are offering salaries significantly below the market rate. Take, for instance, a recent vacancy for a RA/QA Specialist, which required 3-5 years of MedTech experience but offered a salary of up to £30,000 per annum. While there may be valid reasons for such lowball offers, it can be challenging to attract high-quality applicants if the salary is not benchmarked appropriately.

Employers should be aware that advertising the salary range has advantages and disadvantages. On the one hand, it can attract candidates interested in the role and meet the salary requirements, increasing the chances of finding the right person for the job. Transparency is also crucial in the hiring process, and candidates should know the compensation package they can expect when considering a job offer. Disclosing the salary upfront can create a feeling of trust between the employer and the potential employee.

On the other hand, advertising a fixed salary range can limit the employer's flexibility in negotiations with potential candidates. Moreover, if an employer advertises a lower salary range than their competitors, they may need help to attract the best candidates for the job. Additionally, candidates may have unrealistic salary expectations based on their experience, qualifications, or industry norms, leading them to overlook suitable job opportunities.

Furthermore, there is a risk that advertising salary ranges could result in backlash from existing employees who feel that they are underpaid. As such, employers should carefully consider the potential impact of disclosing the salary range in their job postings before deciding.

What can employers do to mitigate these transparency risks?

One approach could be to conduct regular salary surveys to understand the current market rates and benchmark their salaries accordingly. This will enable them to offer competitive salaries that attract high-quality candidates and retain talented employees.

Another approach could be to provide additional benefits and perks, such as healthcare, retirement plans, flexible work arrangements, and employee development programs. These additional benefits can compensate for a lower salary and provide more significant value to employees.

Employers should also be transparent in communicating with potential candidates about the salary range, including any bonuses or commission structures. This can help to build trust and prevent misunderstandings during the hiring process.

Lastly, MedTech employers should consider implementing a clear and consistent salary review process to ensure that their employees' salaries align with the market rates and are fairly compensated based on their experience, qualifications, and performance. This will help to avoid employee dissatisfaction and potential turnover due to salary discrepancies.