Market Recovery – The Dark Side

Much to my dismay this week, I negotiated a significant sign-on bonus for a candidate. Although I am happy with the outcome for both my client and candidate, this sign on bonus was just another indicator, to me, of the speed in which the employment market is changing.

In the past six weeks we have seen, across our business, a strong re-emergence of the sign on bonus and the counter offer. As a result we are now briefing our clients to expect this as a standard within a hiring process.

The employment market of 2007, which has been a distant memory for the past two years, is returning in full force. This is not to say 2010 won’t be a great year for hiring managers. There are a lot of talented people ready and keen to pursue new roles. However be ready to pay a premium and to work hard to get the person you want.

Salaries are increasing. Good people are currently exploring several options at the same time (internally and externally) and are receiving multiple offers. Bonuses were small last year, things have improved; don’t expect a good candidate to walk away from their bonus this year (two years in a row without a bonus is not acceptable to a high performer). Be prepared, have a back-up strategy, just in case your candidate of choice is successfully counter offered.

Advertisement