More than half of firms plan to raise pay in 2022

More than half of firms plan to raise pay in 2022
More than half of employers intent to raise pay this year, while 38% of workers plan to move jobs.

A survey from recruitment experts Excel Recruitment found that 52% of employers are planning to raise pay this year while a further 35% are uncertain about pay hikes.

Among employers, 56% intend to hire new staff. Just 26% of workers say they don’t plan to change jobs this year, while 36% are uncertain.

Flexibility is almost as important as pay for workers choosing a new role, the survey found while location, progression and benefits also matter.

“While salary is always going to be a key motivator, it does take its place among other considerations such as training and development opportunities, flexible working conditions, company culture, and tangible employee benefits like pension schemes and health insurance,” said Excel director Shane McLave.

“These are becoming just as important, alongside agile working conditions.”

According to Excel’s 2021 salary guide, 65% of firms awarded pay increases in 2021, mainly due to performance.

Chefs and truck drivers saw massive earnings jumps last year, with the salary range for articulated truck drivers rising to €40,000-50,000, from around €30,000 in 2020.

There has also been a boost of around €2,000 in more junior roles.

The main reason employees moved jobs in 2021 was because of higher salary, according to 42pc of respondents. Job vacancies rose significantly last year and were 119% up on 2020 levels by the third quarter, thanks to a Brexit boost and as employers adapted to the pandemic.

“There is no question that Covid has brought many challenges, but it has also widened the talent pool due to the flexibility around scheduling remote interviews and the increased ability to work from home,” said Mr McLave.

“Employers say that attracting the right talent with the right skills will be the biggest challenge in 2022.”