This approach does not necessarily cut it anymore. As an executive recruiter with 21 years of experience placing professionals in the plastics industry, I have noticed an important new hiring trend. Geographical requirements are becoming more significant than compensation among high-value, knowledgeable workers willing to accept changes in employment. Personnel departments, to fulfill their strategic role, must understand this trend and reflect it in their hiring practices. An increase in compensation used to be the top motivating factor.
Success still is measured by the size of the paycheck, but quality of life now rivals compensation.
Instead of preparing for the next promotion, many are preparing for next job. The consulting mentality that makes some employees so valuable also makes them hard to retain. This is an era of academic and intellectual migrants who are content to offer their services year by year. Only stock programs, incentive compensation and vesting can ensure loyalty. Placement studies often examine accepted salaries by geographic location.