Candidates know when you offer them a base salary that is below market. And if your bonus or sales incentive is also low, that’s just another checkmark in the No column.

Your recruiters and hiring managers know when you are offering low pay. It just makes their job more difficult.

So, your ability to attract the talent you need is broken.

What about retention?

The costs of turnover are extremely high. Losing an employee can cost an employer one half to two times the employee's salary.
When an employee leaves, current employees take on more work while the job is open. Eventually, they get burned out and leave.
Your customers feel the pain of having to work with new employees who aren’t as skilled in meeting their needs. Customers are dissatisfied.

Saying that people just don’t want to work anymore is an excuse. There are people who want to work. They just don’t want to work for wages that are low.

Do the right thing. Pay your people what they are worth.

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