HUMAN RESOURCES

Headhunting: Pay not only factor in job change

My previous two articles dealt with the question of why international firms pay higher salaries than domestic companies. The reasons were many but did not give an answer to the other question of how to prevent people from leaving your company.
Let's first look at the reasons why people leave their present job for another employer. You might think that a higher salary is the main motivation but surprisingly this is not the case. It is obvious that a person changing from one job to another is unlikely to accept a lower salary and will probably negotiate (and get) a higher salary. But it is not the initial reason
for change.


Gerard Koolen

My previous two articles dealt with the question of why international firms pay higher salaries than domestic companies. The reasons were many but did not give an answer to the other question of how to prevent people from leaving your company.

Let's first look at the reasons why people leave their present job for another employer. You might think that a higher salary is the main motivation but surprisingly this is not the case. It is obvious that a person changing from one job to another is unlikely to accept a lower salary and will probably negotiate (and get) a higher salary. But it is not the initial reason for change.

As a recruiter we ask all our applicants why they would like to find a new job and the answers below are listed according to the frequency of the response, number one being the reason most often given:

1. I want to develop my skills and at my present job I am not able to,
2. I need new challenges, my present job has become routine,
3. I do not have promotion opportunities at my present company,
4. I want to have a higher salary,
5. Our company is not developing itself anymore,
6. Problems with my manager and/or colleagues,
7. I want to work closer to home,
8. Numerous other reasons,

When we look at the people themselves behind answer number four, we discover that the majority are people working at state companies, public institutions, low civil/governmental jobs, production operators etc. All have one thing in common: lower than average salaries. For these members of the workforce it is obvious they are changing just for a higher salary. But even for these people present salary is not the decisive factor. The major factor is the lack of any future prospect of salary growth.

If we look at salary levels of 12,000 crowns (just above Slovakia's average wage) and up, many other reasons start to play an important role, the major factor for change being when your employees do not see any future at your company. People will leave your company the moment they have the feeling that there is no future.

In most cases people leave because of a lack of perspective. But this does not mean that the salary issue can be neglected. Every day talented people leave their present employers and take substantially higher salaries elsewhere.

Gerard Koolen is a partner at Lugera & Maklér. His column appears monthly. Send comments or questions to gerard.koolen@lugera.com.

The processing of personal data is subject to our Privacy Policy and the Cookie Policy. Before submitting your e-mail address, please make sure to acquaint yourself with these documents.

Top stories

Government announces a state mourning for the victims of the crash near Nitra

Flags will be raised at half-mast between 8:00 and 20:00.

A black flag was raised in front of the Government's Office.

UPDATED: Road accident near Nitra claims 12 lives

Pellegrini is considering a national mourning on Friday.

All the things that were left overdue

Last week brought a resignation and a half-hearted opposition deal.

Deputy Speaker Martin Glváč (left) and Smer chair Robert Fico (right) held a press conference on October 29, 2019

The alleged driver in the Kuciak murder case may confess his guilt in court

Tomáš Szabó could be the third of five accused to confess their guilt.

The police escorts Tomáš Szabó, the accused in the Kuciak case, to the Specialised Criminal Court in Banská Bystrica, central Slovakia, on September 30, 2018