Or Are Employers Becoming Better At Marketing?
Firstly, let me ask you something. Do you think your business is an attractive proposition to developers that you want to hire? Yes, no, could it be better?
The reason for this question is simple, in this day and age things move fast.
If you’d have asked me about flexible working a few years ago, I’d have said “it’s a luxury offered to few”.
But the world of work has changed, the pandemic saw to that. Perks that were once attractive are now essentials. If you’re not flexible, you’ll likely have to work twice as hard to attract and retain talent.
We now work in a world where the majority of businesses can turn on the WFH button quickly. They have to at the rate things change. And towards the end of 2021, I believe there’s another, albeit slower to take hold, change on the horizon.
Reputation. It Matters To Developers
There’s a growing trend amongst developers and candidates alike away from money. Possibly even beyond flexibility. Some are going further with their choices. People are asking more about employers than ever before – what are they like to work for? (I’ve heard before), how long do their staff usually stay with them? (we’ve heard before), what impact are they trying to create (a new one for me)
The first two can normally be countered with a solid offer, a promise of performance-related bonuses and extra financial rewards. But it’s having less effect. The last few years have been torrid, no question.
Branch Bytes 2, The Survey
In 2020, we compiled a small White Paper around attitudes towards work, post-pandemic. It raised points around attitudes towards working from home. Essentially, the Paper showed us that:
- Pre-Covid, the majority weren’t use to WFH, but even after one of the many “unlocking” attempts, it was the only way they wanted to work now
- Some saved thousands, the equivalent of £5,000 per year extra in salary in one case, due to not commuting
- Pre-Covid, the majority weren’t use to WFH, but even after one of the many “unlocking” attempts, it was the only way they wanted to work now
- Some saved thousands, the equivalent of £5,000 per year extra in salary in one case, due to not commuting
What we wanted to outline was that businesses needed to adapt their policies fast. There was also a feeling that the now “commuterless” candidate could work anywhere. Meaning, London Calling only required a decent broadband connection and Zoom.
I’d say roughly 25% of my candidates who are developers by profession are working 100% remote currently when placed. Compared to 2019’s 10%, it’s a substantial jump yes, but it’s also down to circumstance, rather than bidding wars.
But back to this year’s survey, we have 23 respondents. Their backgrounds range from being in full-time employment to running their own businesses. They come from agencies, professional services and the tech scene.
Here are the results.
What’s Your Attitude To Work?
Although we don’t have a solid year on year comparison, when the sample was asked “has their attitudes towards work changed over the last 12 months”, 67% said Yes.
That’s quite a lean. To provide context behind the result, the following statements were made:
“People have been considering different careers since COVID. People who may not have had the faith to take the leap pre-2020 do now. And those who have been furloughed have had lots of time to reconsider their career choices.”
“I was furloughed and then took redundancy in March 2021. The last 12 months have made me think differently about employment. I have re-trained and taken a job on a contract basis as a freelancer instead of being employed.”
“I feel like with Covid, people are into the habit of flexible working schedules. With technology, it suits the field quite well since we’re all familiar with video conferencing, commute time is saved and a change in environment can bring more creativity. The mixture of office work and WFH is important I feel.”
“The world around us is changing. As a developer, I can also have the power to choose my application. I can choose to avoid companies that are morally questionable, in product or reputation.”
The mention of furlough is interesting. The saviour of people’s livelihoods has provided time to reflect.
Maybe I’m jumping to conclusions, but if you’ve had months away from work on 80% pay with no guarantee of returning, your thinking changes. Money becomes less important. The feeling of security, safety, the guarantee of a future all culminates into better mental wealth.
What’s Important To Developers?
We’ve used a simple 1 to 5 Likert scale and asked “how much do you agree with the following statements”? that link to salary, flexibility, employee development, reputation and extra perks.
In order of how they were asked, this is how our respondents ranked each one:
- Salary = Average of 3.3 (salary is the most important thing when it comes to a role)
- Flexibility = Average of 4.1 (flexibility and the ability to work from anywhere is no longer a perk. It’s part of a basic package)
- Bonuses = Average of 3.3* dispersed less evenly than the other 3.3s (if a company offers an average salary with strong performance-related bonuses with achievable targets, I’d choose this over a better salary with no bonuses)
- Financial Incentives = Average of 3.3 (pay is all well and good, but offering better pension contributions, life insurance and health cover are more important)
- Other Perks = Average of 3.5 (if a company offers employee perks, such as discounts, gym membership, Cycle To Work or a ULEV car schemes, they’re instantly more attractive)
- Development & Culture = Average of 4.3 (Salary, pensions and perks are great, but having a reputation for looking after and developing people is far more important)
- Company Purpose = Average of 2.4 (I’m just as interested in employers social, charitable and environmental commitments as they are in how much they’re paid)
So, in order of importance, we have:
- Development & Culture
- Flexibility
- Perks
- Money (salary, bonuses, incentives)
- Purpose of the company
The results provide a fascinating insight into the thoughts of candidates, despite being a small sample. If you’re an employer that’s still peddling money, it’s time to reflect and look at something else.
Lastly, when asked, “how long do you spend researching companies if an opportunity arises for a role with them”, 35% of the respondents stated as much time as they can and they’ll look at every detail. Only 1 person said they’d only do so for interview preparation.
What Are The Thoughts From Branch Tech?
#1 The War For Talent Will Be Won By Candidates
Let’s not hide from this – talent is hard to find (great developers even more so). It’s why agencies like Branch exist. Yes, we can find the right people quicker, but that doesn’t mean it’s easy. In fact, we’re finding some developers now have multiple offers to mull. That’s popularity for you.
I’ve had a recent case where a developer turned down an extra £5,000 per year to work for a company that they perceived to have better culture. Couple this emphasis on working for brands that value their employees with an explosion of tech start-ups and scale-ups looking for the best people, you’ve got a storm brewing.
There’s more competition for talent. That means there aren’t enough people to fill every role. Ergo, they cherry-pick the offers. Within tech, the candidates are going to lead the market. Businesses are crying out for developers, full-stack, .Net, Solidity, you name it, they want it. But so does the next business. You might not compete on products, but you certainly will on talent, so do remember that.
To attract the right people, you’ll need to start looking at your culture. Because if you don’t, your ideal candidate certainly will do.
#2 Personal Development Over Personal Finances
Those businesses that invest in developing their people whilst clearly showcasing the success in doing so are going to win. Simple.
After the last few years we’ve had, is it any wonder people are craving stability? When companies do all they can to develop and protect their staff, they are providing a solution to a problem. And if they can easily show how someone is welcomed into their business, what they can expect from the team AND how you’ll help them grow, it automatically reduces any risk that might arise from “Jumping Ship Syndrome”.
Developing your workforce should be one of your top priorities. The second is how you present this to potential new recruits.
#3 Pick The Perks That Matter
There is a shed tonne of options out there when it comes to perks. What will be critical when developing an employee package that shines is offering one that’s useful. That’s not a dig at what’s available, far from it. But the world has moved on.
Cycle-to-Work, private dental care, cashback from certain retailers, they’re all old hat. If you’re working with people in tech, most of the perks they’re offered are useless. Why not look at:
- Time off for mental health
- Free counselling sessions
- Professional food/nutrition advice
- Mindfulness/meditation apps
- Offering Crypto exchanges for salary
- Student loan assistance
BUT, remember your audience. Or, if you have a team of techies and developers onsite, ask them.
#4 Financial Extras Linked To Causes
How many job adverts out there talk about pensions, health insurance, free sandwiches at the end of the month and the likes? A lot. Mostly it’s a NEST pension that everyone has to offer unless the employee opts out. So, not a perk.
What if employers invested their money into people’s futures AND committed to a cause? For instance, if you’re going to What if employers invested their money into people’s futures AND committed to a cause? For instance, if you’re going to offer a pension scheme, why not guarantee it’s one that doesn’t invest in fossil fuels? Turn that free sandwich day into a Meat Free Monday, where people are treated to a vegan menu. Offset your air and land travel by planting trees with your employees’ names on them.
Pensions are so far in the future that they become irrelevant. Phil Clerkin, director of Libertas Wealth Management, advises both clients and companies on finances, pensions and future wealth. He says:
“I’m not surprised that the responses were of average importance from employees with pensions, life assurance and health insurance. Because although most people understand the importance of these things, the need is not immediate. There’s also a chasm between the employees’ immediate need and relevance to them.
We find that people of all ages want the same thing. Where it used to be financial security, they want to experience life. Flexibility in the workplace can offer this, contributing to a person’s wellbeing, and having a plan rooted in what they truly want is the key!”
If you do something different with what can appear to be relatively safe, you’ll stand out.
#5 Finally, Show People The Money
As previously put, you still need to pay people. And pay them well.
The big change here is that it needs to mix with other benefits. Plus, helping with your employees’ future financial security can only be a good thing. Phil points out that solid packages with pensions, insurances and health cover cost businesses less than they might first think.
Investing in extra financial stimuli for employees can only help you towards bettering your reputation as an employer. You can justify why a salary isn’t as high as others in the market. You invest it back into your people and in areas of the business that make it a better one to work in.
If you’re a brand that wants to attract talent that not only helps you grow but believes in what you have to offer to them personally and professionally, you’ll likely outflank the competition.
