Resignation issues

Workers resent new hires receiving more benefits

Employment law
New hires are being offered additional perks

Employers desperate to fill vacancies are creating resentment among their workers by offering exclusive perks and benefits to new recruits.

Close to half (45%) of employees quizzed by a human relations company said they had discovered that a new hire was getting paid more than them.

A similar proportion (44%) said their employer had advertised better benefits packages for new hires, which included benefits they did not receive.

The findings from the survey of 2,000 UK workers, and more than 1,000 HR directors, come amid rising numbers of workers quitting their jobs.

The top two reasons for resigning were finding out that new hires were receiving better benefits packages, and discovering a new hire was being paid more.

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In the UK, job vacancies reached an all-time high of 1.25 million between October and December 2021; more than half a million more vacancies when compared with the same period in 2020. 

With pressure firmly on businesses to recruit new talent, increasingly aggressive recruitment strategies may be on the horizon.

However, the survey’s findings suggest that a business’s focus on attracting new hires could come at the expense of their existing workforce.

Other reasons given by employees for quitting their jobs included being denied flexible hours to accommodate last minute commitments (such as doctor appointments and childcare duties) and being contacted by colleagues out of hours.

This suggests that businesses are expecting their existing to employees to be increasingly available and committed, but that this commitment is not being properly recognised or rewarded.

JC Townend, CEO of LHH UK and Ireland, which conducted the survey, said: “These findings are the tip of the iceberg and should serve as a warning to businesses.

“Companies need to recognise the warning signs that great talent could soon be walking out the door and take steps to address this before it’s too late.”

“This has to include open and honest conversations about things like compensation and benefits, but also how people are coping generally with their level of work and responsibilities.

“The historic highs we’re seeing when it comes to job vacancies are not just a business challenge – they have a very real impact on the people who are picking up the extra work or putting in extra hours, in order to cover these gaps.” 

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