Research Shows High Wages, Yearly Bonuses Still Not Enough in Supply Chain Sector
Supply chain specialist recruitment firm, Bastian Consulting, has released findings from its annual salary survey, uncovering salary trends across Australia and New Zealand.
The Bastian Salary Survey 2022/23, completed by more than 1,300 respondents from Australia and New Zealand, reveals the positions and industries paying the highest wages across Supply Chain, Manufacturing, IT, Consulting and Procurement. The survey also reveals how companies are now differentiating with non-financial benefits.
The report uncovers staff sentiments on salary, shares and benefits, as well as other factors like autonomy, professional development, culture and sustainability.
Featuring results from more than 1,000 respondents, from entry-level to C-suite positions, and interviews with key personnel, the report reveals the elements of a winning employee value proposition: which is more than just dollars and diversity.
From entry-level candidates earning more than $70,000 to consultants earning up to $400,000, the survey features comparisons of earnings based on seniority, location, sector and industry.
Key findings of the Bastian Salary Survey 2022/23 include:
· 78% of respondents reported a higher turnover rate in the previous twelve months, and 61% expect this to continue or get worse in the year to come
· 60% of employees are dissatisfied with their salary, despite enjoying their role
· 40% of respondents aren’t convinced they’ll stay with their employer for the next 12 months
· 75% reported feeling stressed or anxious as the result of work in the last twelve months
· 40% of those in management positions plan to hire more expensive temporary or contract staff just to deliver on project pipelines
· 30% of employers make mandatory counter offers for all team members who resign
The report also explores sentiment around ‘The Great Resignation’, which according to employers, won’t improve anytime soon. Predictions on resignation spikes in the coming year are also discussed, as well as what employers are doing to prepare.
“The higher number of resignations predicted is mainly due to the growing trend of rate shopping: where employees resign simply to receive a counter-offer from their existing company. Interestingly, the report shows what salary increase employees expect to receive, compared to the salary increase employers expect to pay: which is a sizable gap,” Tony Richter, Partner at Bastian Consulting, says.
The continual impact of the skill shortage, the growing trend of rate shopping and the role counter-offers play in retaining top talent are discussed, as well as how likely staff are to engage with a recruiter even when not actively job searching.
Key findings include:
· 84% of respondents have been contacted recently by a recruiter, even when they’re not actively job searching
· Over 60% admitted they would reply to an unsolicited message from a recruiter, even when they’re not actively job searching
· Over 25% said they would switch employers for as little as a 5%-10% pay rise
· 45% said they would switch employers for a pay rise of 10%-20%
The survey reveals standard inclusions like private health insurance, vehicles and superannuation contributions continue to feature in salary packages from employers, though they continue to fall short in the eyes of employees.
Discussing the most common “benefits” (which directly impact the business, rather than the lives of employees), the survey reveals the inclusions which actually shift the dial to help retain staff, like support with professional development as well as schemes to support mental and physical wellbeing.
“Given the challenges of the skills shortage, it is no surprise that salary remains a strong retention driver. However, mandatory counter-offers are declining compared to 12 months ago: today, resignation does not automatically produce a matched offer. As explained in the report, employers are now more selective with counter-offers, looking at specific factors when deciding whether to offer one or not. In this year’s survey, we have also explored the way employers are using non-financial benefits, culture and development opportunities to retain their top performers,” Mr Richter says.
For more information, visit: https://bconsult.lpages.co/the-2023-bastian-salary-survey-report/