Mercer’s New Hire Pay Rates measures the relativity between salaries offered to hire new staff compared to existing employees in the same role within an organisation.
Mercer’s remuneration database operates on a rolling basis, with organisations providing remuneration data submissions throughout the year. As a result, each month we share the overall new hire pay rate findings in addition to industry-specific results for those sectors for which reportable data is available.
In June 2021, the overall new hire pay rate is -2.1%. This result indicates that the market is hiring new employees into roles at a lower salary to existing employees in the same position.
Discounted new hire pay rates were recorded across all of the career levels this month. For new hires in executive roles, we are seeing discounts offered of 0.4%, while new hires into para-professional and professional roles are offered discounted salaries of 4.6% and 2.3% respectively, when compared with existing employees in the same position. New hires in management roles are receiving salaries on par with those already in the role.
Disclaimer: While every care has been taken to ensure the accuracy of the information, no warranty is given in respect thereof.
In June, eight reportable industries can be viewed in the following image. The retail and construction/engineering industries are paying a premium of 1.8% and 0.7% to new hires respectively, while the energy, water and utilities industry and education and research industry are offering the largest discounts of 4.8%.
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