What Boston’s Salary History Ban Means for Technology Hiring Everywhere

In an effort to promote fairness and equal pay, salary history bans are spreading rapidly. It’s something hiring managers in Boston are well aware of, as the new law takes effect throughout Massachusetts on July 1st of this year. However, bans on asking applicants their previous salaries are something for businesses everywhere to consider, whether they operate in Boston, New York, California, or one of the many other locations approving similar legislature. Here’s why it matters to you, and how to successfully recruit in the technology industry despite it.

Preparation Must Begin Immediately

For all organizations, and especially those in Massachusetts, the time to prepare for this salary history ban is right now. Review your current recruiting process to identify steps that touch on previous salary. Train HR and all hiring managers, and anyone who might even remotely have contact with a candidate. Of course, applications and forms on paper and on websites will need revising, but there’s more to consider than just training and paperwork.

The penalty for violations varies by location, with some topping six figures for even an accidental violation. In Massachusetts, a violation can result in an intimidating class action lawsuit or pay discrimination claim. This law isn’t taken lightly, and there will inevitably be hiring managers who slip up out of habit and ask the question. Implementing changes as soon as possible allows for a buffer, so if someone in your organization accidentally asks about salary it will ideally happen before July and serve as a teaching moment rather than a true violation.

Understand Market Rate Offers

Previously, knowing a candidate’s salary history was sometimes seen as an advantage. For those inclined, if a candidate revealed a lower salary than expected, it shaped offers and seemed to allow the saving of thousands of dollars. But in reality, that was never an effective recruiting practice. Employees often find out what their peers make and are increasingly aware of what their salary should be for their role and location.

Most importantly, low offers simply don’t work in the competitive technology industry where talent is in very high demand. Not only do technologists know what they are worth on paper, but they are receiving strong offers from your competitors. Extending a low offer only serves to drive them into the arms of someone else, even if they have made a lower-than-average salary in the past. This is why understanding market rates is so important. Continued hiring success in the field requires finding reliable sources for technology salaries and forming offers accordingly.

Alternative Recruiting Methods

As salary offers become more uniform under salary history bans, there will be an increased importance on recruiting methods outside of compensation. Money is naturally an important consideration for candidates, but after a certain threshold (typically the market rate), job seekers make their decisions based on other factors. A Glassdoor survey of over 600,000 users found that culture is the workplace factor that matters most to employees, outranking compensation. At the same time, technologists want their next role to get them closer to their overall career goals. It should come as no surprise that 87% of Millennials rate professional development and career growth opportunities as very important. When salary becomes less of a focus, these aspects are essential to recruiting.

Simply put, job seekers want to work in a great environment with excellent work-life balance and career progression. Factors like PTO policies, telecommuting options, and access to cutting-edge technology make a big difference in attracting talent. Building an excellent culture and then showing it off at every opportunity is key. Since 79% of job seekers use social media channels in their job search, be sure to harness the power of LinkedIn and Facebook. Likewise, encourage employees to spread the word through review websites and employee referral programs so that they can become your brand ambassadors and a living example of what working for a great company looks like.

What Boston’s Salary History Ban Means for Technology Hiring Everywhere

The spreading salary history ban is the new normal for hiring managers looking to staff their technology roles. While it can be a challenge at first, turning recruiting efforts away from compensation and toward factors such as culture can be rewarding. However, it’s not easy to overhaul recruiting, and it certainly doesn’t happen overnight. For an easier, faster solution to hiring for your open technology positions, BridgeView IT can help.

Looking for top technologists who perfectly fit for your organization to be delivered quickly? Look no further.

 

Related Articles

The 2019 Technology Salary Guide You’ve Been Looking For

5 Ways to Improve Candidate Experience

The Hidden Cost of an Empty Desk

4 Ways to Quickly Boost Employee Engagement

Related

Archived Posts

10 Ways to Win the Fight for Happy at Work

Whether it is just the daily grind or a career that is less than your passion, workplace happiness doesn’t always flow naturally. The true masters of the workplace can find happiness amongst it all. So here are 10 easy tips for staying happy at work.

Career Advice, Hiring Advice, Insights

Search Without Being Found

It is common to be employed while hunting for a new job, especially if you are looking to advance your career. Here are several strategies that you can use to avoid alerting your boss or other people in the department:

Career Advice, Insights

An Effective Elevator Speech Opens the Doors to New Career Opportunities

When you are looking for a new job, networking is a critical step to help you connect with other people in the industry. You’ve probably heard the saying that you only get a single opportunity to make a good first impression, and networking with an effective elevator speech can make-or-break your job hunting efforts.

Career Advice, Insights

Your Resume has these 4 Must-Haves, Right?

Modern technology has made it easier to apply to many jobs without much effort, which means that employers and recruiters are inundated with resumes when a job opening is posted. If you want the job, then you need to make sure that your resume outshines the rest.

Career Advice, Insights

Quitting Your Job? 5 Considerations Before Deciding

LinkedIn Twitter Facebook Google+ Are you frustrated with your job and you are ready to...

Career Advice

The 5 Questions To Ask In A Job Interview

When you ask questions at the close of your job interview you show the interviewer you were listening. You convey your interest in the company and showcase what a good fit to the team you would be. Your questions garner insight into how you would fit into a specific role and where you would devote your energy. Questions are critical to the success of your interview.

Insights

You Said What? 7 Things to Never Say During a Job Interview

One sentence. That’s all it takes to derail your chances at the dream job you’ve been pining after for months – maybe even years. Employers focus on why they should hire you, but they’re also looking for reasons not to hire you. Read on to find out seven things you need to keep in the vault while interviewing.

Career Advice

Send Resume
Share This