Mismatch
Almost 80% are looking for a salary rise of more than 20% to be attracted to a new role (a confident 42% are looking for a 30% jump). Just 2% said they'd move for less than 10%, and only 18% would be enticed by a 10-20% boost (see chart 2).
HR managers, on the other hand, don't seem to be prepared to match those expectations. Just 21% said they'd offer more than 20% raises to bring in new talent (6% would be willing to go as high as 30%). Three percent think matching current salary would be enough while 15% would pay less than 10% more and 60% would pay 10-20% (see chart 3).
Baker's experience matches that. He said as Asian markets have rebounded employers are once again willing to offer 10-20% increases to attract the right candidate.
He noted that candidates typically have high expectations when they start looking for a new opportunity. "Candidates need to consider the full scope of the package, including non-monetary factors such as salary reviews, promotional prospects, scope of role and employer brand.
"If properly managed, the gap in expectations of candidates and employers can be narrowed and both parties can achieve a win-win."
He said in some cases where the scope of the role or the employer brand are especially attractive, some companies will be able to offer less. "But there is clear recognition that the market is heating up, the hiring freezes of the recession have lifted and the market is transitioning back toward a candidate driven one."
For existing employees, more than half of those surveyed are looking for up to a 10% increase while 26% expect a 10-20% raise (see chart 4).
Singapore-based Chai of BT Global said the market has been depressed for so long that many staff want to make up for the lost earnings is just one go.
"But companies are not keen to match those demands across the board for all roles - that's the feedback I'm getting from external firms. Common sense is still prevailing. But who knows, salary increases may once again become more common." BT has just set increases for the year at 5-10%, she said.