How Does Wage Analysis Improve Headcounts?
When modern businesses expand, wages and other associated benefits are often left behind in the growth process. This, in turn, results in non-competitive wages and high levels of employee turnover that make meeting headcounts even more difficult. A wage analysis can best be described as a comprehensive examination of current salary and benefit programs for an individual position type that is then compared with local, regional and national data. This helps businesses stay a competitive option for job seekers while also ensuring that current employees are not being lost in the mix.
Among industries that are reliant on meeting headcounts, like manufacturing, is it common for a sub-par candidate to be accepted just because they have the minimum skills required and can quickly fulfill headcount goals with little disruption. With this strategy, those same employees will likely leave quickly or be removed from the team – further hindering the ability to meet headcounts. In some industry, this creates a stream of constant churn that makes it impossible to have a solid workforce daily. This can cause stress on other employees and further hinder morale and productivity, potentially resulting in even more turnover of the most valued employees within the company.
Paying employees a fair wage and ensuring they are receiving the benefits that they are looking for is critical for meeting headcounts. As many employers are now starting to understand, one of the best ways to accomplish this is through a solid wage analysis plan that regulates pay caps and ensures the business remains at the forefront of jobseekers’ minds when they are looking for a new career path. Although this may seem like a bold step, the benefits that can be achieved in high-turnover industries are immense. Certified Source can help cut out the guesswork and improve headcounts through our unique performance based staffing solutions.