Offering competitive salaries a growing concern for business owners

Although growth prospects are looking more promising for 2022 as compared to 2021, with 71% of all Australian business owners feeling confident about this, offering competitive salaries is a big concern for many. 

Research conducted by Robert Half found that of the 71% of business owners who are confident about growth prospects, 63% cited expanding business opportunities as the top influence. 

A further 61% thought a better economic position and 55% considered successful restructuring as the reasons why their growth prospects were looking more promising. 

Hiring employees for permanent employment by 82% of respondents was planned, with 32% looking to even expand their workforce and actively add new positions within their company. 

This is compared to a small 5% who were looking to reduce the number of staff and 13% who were freezing headcounts for 2022. 

This is looking to be shaping up to a great economic recovery for 2022, with businesses being able to forecast more effectively as we move out of lockdowns caused by the pandemic. 

Even if these numbers sound promising, we here at Accounting Tax Solutions understand the difficulty that Australian businesses are having in finding the necessary talent to fulfill these roles. Indeed, more than half of those who were surveyed (54%) are concerned about finding qualified employees in 2022, believing it will be more difficult than it was pre-pandemic. 

Meeting salary expectations was a primary cause of concern, where 39% of business leaders thought this to be their most pressing challenge, followed by reskilling, upskilling and finding those with the right technical knowledge. 

Because the competition for talent is so strong right now, candidates are aware of their in-demand skills and are taking advantage of the bargaining power that this gives them. 

Poaching talent has become more common and many desirable professionals are receiving multiple job offers, bespoke packages, generous salary increases and more opportunities. 

So even if there are a lot of job opportunities out there and businesses are able and willing to grow quickly in this current environment, the inability to find and keep the right kind of talent is proving to be a daunting challenge for many businesses. 

This is particularly true in technological roles in data management, software development and in cyber security. Talent acquisition managers and HR experts are also in high demand to alleviate the pressure that business owners are feeling. 

These concerns are very real for many Australian business owners right now. If you are looking for innovative ways to grow your business, do get in touch with us where we can offer bespoke ideas for your situation that enable you to move in the direction you want for 2022.