10% raises @ Google..what this means for us
In Today’s WSJ (11/10/2010) there is an article about Google giving raises in January to all employees – 10% in order to keep other companies from recruiting their employees.
To some people this may seem odd – the job market is slow, unemployment remains at 9.6% and companies aren’t hiring enough people to compensate for the job losses that took place during the recession.
However what Google is doing isn’t really that unusual; we are seeing a number of our clients give “counter offers” to employees who receive offers from other companies. Happened today – we lost a great Media Supervisor and we worked hard to get him the salary he requested. Why? Because his current employer didn’t want to lose him and the cost of replacing him is greater than the raise they will now give him to stay. Of course, why didn’t they show their love and admiration for him prior to the offer?
And a 10% raise for digital media professionals is less than what they will receive if they change companies – the market remains very active for these candidates and we can’t seem to fill the openings fast enough.