Should I Include Salary in Job Ads if I Don't Have to?

Recent pay transparency laws in places like California, Colorado, and New York City have rendered this question moot for many hospitality companies. But in other locations, business owners may wonder, "Should I include salary in job ads if I don't have to?"

Yes!

We hear a lot of concerns from employers about including pay in job advertisements: “We don’t want competitors to know our rates.” “We’ll lose our negotiating power.” “It might rustle current employees’ feathers.” The list goes on and on. But in the current labor market, these objections are slowly becoming obsolete.

When employers are not upfront about salary, they end up recruiting with one hand tied behind their backs.

When it comes to being upfront about pay, these benefits outweigh the perceived downsides:

• Generates more applicant interest
• Saves Time
• Avoids Any EEOC Trouble
• Builds Positive Employer Brand

Generates More Applicant Interest

Job ads that include a salary range see a significant increase in application rates. Why? It is a large part of why job seekers are looking for opportunities! A vast majority of the younger generation simply won't consider an opportunity without an indication of salary. Furthermore, many online platforms will prioritize postings with pay over those without, which helps you stand out from the noise of the current hiring scramble in hospitality.

Saves Everyone Time

Busy hiring managers shouldn’t waste their time interviewing candidates whose salary needs can’t be met. The offer stage should not be the first time that a candidate learns about the position's pay. So why not save everyone valuable time and be upfront about it? Companies only hurt themselves when they post overly broad and uninformative pay ranges.

Avoids Any EEOC Trouble

A variety of EEOC laws and acts aim to eliminate pay inconsistency due to discrimination. While you probably have no intention of creating pay disparities within your organization, it can still happen. An upfront approach to salary is the best way to eliminate any appearance of non-compliant hiring practices.

Builds Positive Employer Brand

If a company is unwilling to disclose salary upfront, jobseekers may wonder, “What else are they hiding?”. Candidates will probably actively seek more information, leading them to sources that may present skewed views, like Glassdoor. Assure job seekers that you are a trustworthy employer upfront to get them excited to work for you.

The bottom line is that pay transparency is gaining momentum that business owners shouldn't ignore. While transitioning to a transparent pay structure can be unnerving at first, employers who keep their pay aligned with industry standards will be set up for success.