Labor market monitoring. How can you not sell your work too cheaply?

Monitoring the labor market is an important process. It plays a great role both for employers and for hired workers. Everyone is eager to learn about the average wage in the labor market in order to sell their labor as profitable as possible, if it is a wage worker, and what competitive wages to set in the case of the employer in order to attract as many qualified and conscientious personnel as possible.

Labor market monitoring

In order to know and properly assess the state of the labor market, you need to carefully study it and constantly monitor the situation. However, here the question arises: where do you get information and how is the labor market monitored?

To be aware of the changes that occur, you need to know the salaries of various enterprises and firms, how they depend on the specifics of the work, industry, type of economic activity, etc.

Pros of monitoring

Monitoring of the labor market and wages is important first of all for employers. They are studying demand and supply, forming a salary for their staff, they are an important element in the system of relations.

What is the benefit of monitoring the labor market? Firstly, it is possible to assess how attractive is the amount of money offered by the employer to the employee. Secondly, compare the wages of your firm with others, having studied, thus, a competitive environment. Thirdly, learn how the price of a specialist differs depending on his qualifications. Fourthly, the employer can see and establish salary limits for employees of different classification and different levels of training.

What is it for?

Constant and high-quality monitoring of the market, in addition to the above advantages, helps the company to keep abreast of the current changes that occur in the labor market. The employer gets the opportunity to independently determine the salary limits of an employee of a certain link, while doing this systematically, so that the level of salary corresponds to the average in the current period.

For example, every year, taking into account inflation, an employee needs indexation of wages. The employer has to raise it so that his employee does not go to the firm of competitors. However, monitoring the situation on the market, he can track the dynamics of wage increases in different companies in any industry and, based on these data, decide not to index wages, because in that case there is no sense for a specialist to go to a new, unfamiliar company with those Same conditions.

Recruitment

One of the decisive factors when hiring a hired employee is the evaluation of the company's wages, comparing it with other similar firms and industries. For an employer who decides which salary limits to set for a particular position, an important factor will be the monitoring of the labor market.

Accordingly, it is possible to draw conclusions from this, how the situation of employment will develop, if both subjects of labor relations analyze the current situation.
When the employer starts looking for candidates for a vacancy, he puts forward demands for the future employee, i.e., indicates the desired gender, age, level of education and qualifications, knowledge of foreign languages, additional internships, diplomas, etc. Hence, taking into account the average wages in the labor market, he sets the salary limits, introduces a bonus system and much more. The competitor, in turn, assessing the requirements, nominates his candidacy only if he understands that he meets the requirements and will receive a really decent salary, more than in other firms.

What leads to ignorance of the situation in the labor market?

Suppose the employer has monitored the situation in the labor market. The protocol of results gives the opportunity to orientate as quickly as possible and find a suitable candidate. However, there are cases when the employer wants to set the salary range himself. In such situations, like any other entrepreneur, he wants to save money, find a qualified specialist for less money. Having established the price for an employee below the market, the employer will have to look for a job applicant from a month to a year. Since a person always looks through various ads, he will see the difference in the offered conditions and will not want to associate himself with such a company.

Knowing the level of average wages in the labor market, the employer establishes either I go down an amount, or a little higher, to pick up a specialist from competitors.
Sometimes, with the expansion of the company and the opening of branches, directors and managers have to perform a quick search for employees. A big role in this case will be played by monitoring the situation in the labor market.

Where to get the data?

This is the most important question for any employer, and even more so the competitor. If we take the standard situation of employment, then everyone knows that any person when looking for work looks for vacancies in newspapers, on websites, stands on the labor exchange. Studying the proposals of employers, the applicant himself can form the current picture of the labor market. News and information resources also give an idea of wages in various spheres and types of economic activity. For companies, it is possible to apply to recruitment agencies and monitor the situation on the labor market for a certain cost. The official websites of the federal service of state statistics, as well as the Ministry of Economic Development of the Russian Federation allow you to study labor market data and be aware of the current situation.