Pros and Cons of Disclosing Salary Information in Job Postings

Disclosing salary information in job postings is a sensitive area for employers. Some employers feel by disclosing salary information in a job posting, they will lose power on the back end during the negotiation phase because they’ve already shown what they can offer. If salary information is posted up front, what is there to negotiate later? To help you decide how to proceed with your next job posting, here is a list of pros and cons.

Pro: Including salary information will immediately generate interest and helps qualified candidates determine if the position is right for them.
Con: If the salary is too low, some candidates may not apply.
Solution: If you know the salary is low, be sure to mention other perks of the job. For example, flexible schedules, health benefits, culture, etc. Money is a motivator but it isn’t everything. Some of your company’s perks may be compelling enough to attract and retain top talent.

Pro: Disclosing salary information demonstrates your company has nothing to hide.
Con: Your company may appear inflexible and places a value on the position, not necessarily the candidate’s skills and experience.
Solution: Instead of a fixed amount, post a salary range. This will give the employer some room to negotiate when appropriate. The employer can choose to offer any amount in the range, but it could also lead to problems. Bear in mind that some candidates may consider themselves at the top of the range and may be disappointed if they are not offered that amount.

Pro: Disclosing salary information allows the job seeker to determine if the position meets their expectations.
Con: Competitors may use the information against you by posting a similar position with a higher salary.
Solution: You don’t want to get to the third interview just to find out the candidate wants $25,000 more than what you can offer. Play it safe and don’t reveal salary in the job posting but reveal the salary in the initial interview.

I prefer not to post salary information in job postings. By not stating compensation, it gives me some room to negotiate with candidates. I’m going to offer the perfect candidate a higher salary than I would someone with less experience.

In the end, whether you decide to disclose salary information is up to you. In this situation, there is no right or wrong answer. If you’re not comfortable disclosing that information in a job posting, then reveal it during the first interview. That way, you’re only discussing that information with qualified candidates.

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