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Compensation is a bit of a mess right now.
A couple weeks ago I talked about how job seekers are being (understandably) choosy in what they respond to. And demanding to know a lot of details up front.
My hypothesis:
Runaway salary inflation of 2021/2022 + Increased pay transparency = Everyone has a better understanding of their worth.
Now, a few people people took issue about the salary inflation piece. How in their view, it’s a non factor. Because it didn’t actually keep up with real price inflation.
Here’s the rub: we’re both right. And that’s an even bigger problem.
In my (admittedly) recruiter centric world: “salary inflation” is a function of new salaries in job changes. With our own data, we saw 20-30% increases across a lot of common tech-centric skill sets. Which haven’t gone down (on a new hire basis).
By any measure, that greatly outpaced price inflation.
But this of course left out people who *didn’t* make a job change. And are stuck in the same salary bands.
The data there? A 4.6% increase compared to 6.4% inflation (source).
The old adage that you only get increases by making a move? Validated.
Anecdotally, I’ve talked to a few companies dealing with this right now. Orgs that typically hire junior and train up (giving increases along the way) are seeing new hires at that 5 year range WAY higher than what their current models allow.
The kicker: it’s not like companies are killing it right now and can boost their entire comp structure.
That’s the game for job seekers: finding out who actually has the cash to give them the increase their current employer can’t afford.
Partner at Hirewell. #3 Ranked Sarcastic Commenter on LinkedIn.
🎧 Rethinking HR: Strategy, Growth & the Post-Corporate Shift
We sat down with Malvika Jethmalani—3x CHRO turned founder of Atvis Group—to talk about what great HR really looks like in 2025.
From performance management and manager effectiveness to people-first AI transformations, Malvika shares what companies are getting wrong—and how to fix it.
She also dives into the perks (and real challenges) of leaving corporate life to start her own advisory firm.
Whether you’re leading HR or just partnering closely with it, this one’s packed with practical wisdom.
Episode 12