How compensation research can help tech startups find ideal fits for their open roles

There’s no such thing as a perfect fit, whether it be jeans or jobs. Unfortunately, this reality doesn’t always stop us from embarking on far-fetched searches. Perfectly fitting thrifted jeans only exist in the world of the Sisterhood of the Traveling Pants. We’ll still spend way too much time scrolling through thredUP on the hunt for the elusive pair. Candidates and hiring managers are also guilty of holding out for a nonexistent option. The effort wastes precious time, money, and energy. 

In 2023, candidates are rethinking their quest for greener grass. After a record number of workers (over 50 million) voluntarily left their jobs in 2022, 8 out of 10 professionals now regret their decision. Values such as work/life balance and mental health didn’t significantly improve with a change of scenery. 78% of employees who left during the Great Resignation are experiencing “The Great Regret” and want their old job back. Moving forward, candidates are more willing to pursue an opportunity that checks the majority (not all) of their boxes. They’re approaching the job search with a balanced perspective based on an awareness of what motivates them.

If you’re a hiring manager for a tech startup, you can attract top talent when you use research to adjust your expectations. I speak with too many clients that are looking for a super senior candidate with many years of experience, but unable to offer the salary that this caliber of worker expects. The paradigm shift for this mindset is understanding that the ideal (not perfect) tech candidate may not need years of experience. They’re motivated by factors beyond salary. As a hiring manager, you can address these factors during the recruiting process to snag the attention of the right person.

1. Use the job description to align the role with the company’s mission.

The ideal tech candidate is internally motivated by a compelling vision. They want to know that their contribution is going to make a real difference. The job description connects these dots by outlining how the role directly impacts the mission.

2. Expose the candidate to the company’s culture throughout the interview process by introducing/involving team members.

A healthy workplace sustains long term job satisfaction because it prioritizes its people and values. Specifically, nurture a culture of inclusivity in your company. One of the many reasons why this is appealing is because it’s a signal that the company is intentional about open communication and collaboration. In a recent survey, 48% said they’d consider switching to another company if it had a built-out diversity, equity, and inclusion (DEI) strategy.

3. Offer opportunities for growth.

Career training and opportunities for your team members to upskill are critical to the future of your company. You’re actively demonstrating that their personal career trajectory is a priority.

4. Demonstrate social responsibility.

Candidates want to work for a startup that’s aware of its social and environmental impact. They want to identify with a company that’s contributing to solutions, ready to use its position and resources to make a real difference in social & environmental issues and share its success with local and global communities.

5. Provide a competitive compensation package.

Many candidates are willing to exchange a higher salary for a competitive compensation package that enables a realistic work-life balance. 

-       Unlimited PTO empowers employees to do what they need to do when a personal emergency comes up, so that they’re able to be fully focused and productive when they’re at work. 50% of US workers would prefer unlimited PTO over a higher salary.

-       Hybrid or remote options provide flexibility. Today, 82% of companies intend to offer hybrid work options.  

When it comes to recruiting for a tech startup company, there’s no one-size-fits-all approach to finding best fits. In many cases, it makes sense to work with a recruiter. A tech recruiter knows how to approach top talent in a way that maximizes the probability that they’ll consider investing their next career step in an unproven company. They’ll also work with the company to make the necessary internal changes that will attract top talent. If you’re intrigued, reach out! We’d love to connect and help you determine whether this is a wise next step for your company.