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Hiring young talent is crucial for any business that wants to stay competitive. LinkedIn says hiring workers early in their careers can help companies build a stronger, more adaptable workforce. This is because young workers come with fresh perspectives and are more receptive to learning new processes and skills.
Hiring new talent is exciting, but if you are still using many traditional hiring practices and compensation strategies you may be left wondering why you can’t attract many young workers. Businesses must adapt to the shifting preferences and job perks that Gen Z finds the most appealing and valuable.
Trying to figure this out on your own may leave many hiring managers scrambling. With access to real-world data and strategies, you can get ahead of the competition and hire the fresh talent you need. The 2023 Canada New Graduate Pay and Generation Z Compensation Survey offers data from over 100 organizations nationwide, including data from 12 types of degrees and 15 disciplines.
Keep reading to get a snapshot of the insights this survey can offer your business.
Do you want to find out how prevalent all of these perks are? Get the 2023 survey today!
Workplace perks have long been a valuable resource for attracting and retaining talent. However, as generations come and go, the perks your employees want will change. With Gen Z, it’s more than just good pay.
Here are some popular workplace perks currently offered by Canadian organizations:
Based on the needs of their workers, many organizations are considering adding more workplace perks that would be appealing to Gen Z, including additional vacation days, more remote work opportunities, student loan repayment assistance, and birthday rewards.
New graduate pay in Canada continues to grow. The average starting salary for those with a community college diploma is $61,357. The average starting salary for those with a Bachelor of Science is $67,899. The highest paid new graduate hires are those with a Master of Engineering degree. The average starting salary in that category is $79,161.
The 2023 Canada New Graduate Pay and Generation Z Compensation Survey breaks down starting salaries even more, where you can view by specific geographic regions, degree levels, and disciplines (accounting, biology, engineering, etc.).
Annual bonuses are still a popular source of additional compensation for new hires. In our survey, 69.9% of businesses make new graduate hires eligible for their annual bonus program. Regarding payout, just over 80% of those businesses provide a bonus to 75% of new hires. Given that bonuses tend to be based on performance, it seems that new graduate hires are treated similarly to other employees.
While the job market has evened out in the last year, there are still highly competitive positions and in-demand jobs. In those areas, some businesses are using sign-on bonuses to attract the talent they need (23.2%). Of those who offered sign-on bonuses, 68.8% said they offered the bonus to compete with other offers and to pay for an in-demand skill.
Many businesses actively recruit interns, co-op students, and new graduates by visiting university campuses. In the 2023 Mercer survey, 89.4% of respondents said they would send recruiters to campuses this year. The most popular months for campus recruitment of new graduates include September, October, and April.
Some businesses are hiring more new graduates than before. The 2023 Mercer survey shows that 23.4% of organizations hired more recent graduates, while 50.6% reported no change.
Along with new graduates, many businesses also hire interns and co-op students to enhance their workforce. This is beneficial for both the business and students. The students gain valuable on-the-job experience, while companies are able to teach relevant processes to a new generation.
While we suspect older employees would apply to a job based on its description or the company’s reputation, many Gen Z workers need more information before they are willing to apply. One study found that 85% of young workers were less likely to apply for a job if it didn’t include the pay range.
The pay transparency trend is quickly gaining traction. In the 2023 Canada New Graduate Pay and Generation Z Compensation Survey, 31% of businesses offer pay transparency to new graduate hires.
The pay transparency policy may include such features as:
Another appealing workplace policy for many young people is the ability to work remotely/from home at least some of the time. In Mercer’s most recent survey, 65.8% of respondents said their new graduate hires could work from home some or all of the time.
If there is one thing that always stays the same, it’s that what worked for older generations will not work for younger ones. If your business still uses the same old hiring strategies, you will likely miss out on attracting and retaining the new talent your business needs to thrive.
Attracting new talent starts with competitive new hire pay. Using Mercer’s latest Canada New Graduate and Generation Z Compensation Survey data will ensure your salary offers are competitive.
To learn more about this survey and other products from Mercer, give us a call today at 866-605-1031. You can also email us at email@example.com.