Recruitment more difficult for SMEs due to salary expectations

21st November 2011

A recent survey conducted by Hays found new job seekers had misgivings about accepting employment at small and medium sized enterprises (SME) over large corporations. The major issues for the job seekers were salary and benefits. Of the 700 prospective employees interviewed, 49 per cent believed that salaries would be lower and 51 per cent felt that fewer benefits would be offered by the SMEs.

Hays's Director of research, Charles Logan, said that even though prospective employees were sceptical about working for SMEs due to reservations about salary and benefits, the survey also found that the employees found several intangible advantages to working for smaller businesses. 74 per cent of the employees cited positive experiences at small firms they interviewed, 52 per cent said they still had doubts about their long term stability during these economically challenging times.

83 per cent of the employees said they felt the greater responsibility and better exposure to all the operations of the smaller businesses was an advantage. Many also appreciated the easier access they had to the senior managers. 88 per cent felt smaller firms offered a better hands-on experience which increased the learning curve for them.

Director Logan concluded that SMEs should remain competitive with larger firms on benefits and wages to attract the best talent available.

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