Half of Belgian SMEs struggle with unrealistic salary expectations
Half of SMEs struggle with unrealistic salary expectations
November 2024 - Belgian SMEs are increasingly struggling with applicants who have unrealistic salary expectations. About half of the SMEs surveyed face non-market-compliant wage demands, according to a survey by SD Worx.
On average, half of all SMEs receive applicants with unrealistic expectations. In Brussels this is half (50%), in Flanders 51% and in Wallonia as many as 54%. This is according to a survey of 670 SMEs by SD Worx.
Size and sector
Company size also plays a role: larger SMEs with 100 to 250 employees more often report that applicants have unrealistic expectations than smaller companies. In addition, the impact differs by sector; companies in industry and construction experience this problem more often than SMEs in the service sector.
It is mainly young applicants and people with little experience who have a wrong idea of what is realistic. This is often due to a lack of knowledge of market-based salaries. Candidates with more work experience tend to be better informed and have more realistic expectations.
Structured salary policy
An additional problem is that not all SMEs have a structured pay policy. Companies without clear guidelines or benchmark data have a harder time giving both applicants and current employees a realistic picture of what to expect. This can lead to disappointment and missed opportunities for both parties.
To address this problem, it is essential that SMEs provide transparency on their pay structure and use market data to align their salaries with industry standards. A structured and objective pay policy not only helps inform applicants, but also strengthens the SME's position as an attractive employer in a competitive labour market.