Recruiting Trends During 100% Remote Environment 💻
⬆️ Increase in candidates asking for remote work options.
🏃♀️ Recruiting top talent has become extremely competitive given the current environment (ex: increase in venture funding, voluntary employee departures at an all-time high).
🚀 60% of employees surveyed have changed their approach to evaluating career opportunities since the pandemic. Many employees cited culture / mission, company trajectory, scope of role, and team (i.e. leadership diversity, caliber of employees etc.) as important factors they use to consider new opportunities.
✅ 40% of all companies said that the recruiting pipeline in this fully remote environment has been easier as candidates are more willing to interview virtually.
💰 Compensation Trends:
Some companies reported seeing an increase in comp expectations with non-Bay Area talent, specifically with engineers.
Top talent pushing back on localization of salaries, and asking for Bay Area comp regardless of region.
“Junior engineers were easier to hire right at the start of COVID, and now harder. Some choosing larger / more established companies, citing stability, mentorship, structure and compensation as some of the main reasons.”
“We have experienced greater difficulty in convincing senior female and DEI candidates to switch roles during this time.”
Candidates with competing offers will have different compensation benchmarks as there isn’t consistency with what companies are doing around localizing comp.
Salary expectations seem to be more aggressive.
“Significant increase in inbound applicants and interest in our company.” - Late stage startup
“Easier to attract non-Bay Area candidates.”
“I've found it is easier to setup interviews since everyone is working remotely and we just do them over Zoom.”
Wider candidate pool (not limited to just Bay Area).
More flexible working hours.
Hiring Activity Outside of the SF/Bay Area ✍🏼
NYC, Austin, Los Angeles are the top three cities outside of the Bay Area where our companies are hiring talent.
58% of companies across all stages are recruiting engineering talent outside of the US.
Canada is the largest international location, followed by Europe and India.
💡 INSIGHT: The market is becoming more competitive. We are seeing a few international companies pay close to US salaries (~75% of Bay Area salary) for technical talent. Companies are coming up with creative ways to close candidates by providing creative incentives.
Engineering Talent Outside of the US ✈️
Candidate Closing Process In Current Environment 🖌
14% of companies have had more success during this current environment.
It is a tie between 1) those that are having a harder time due to the competitive recruiting environment (43%), and 2) those that have not experienced any changes (43%).
#1 Concern For Candidates ⚖️
Compensation remains the #1 concern as candidates are negotiating offers. It’s important to be able to articulate the upside in growth of their equity packages / compensation potential. Total compensation also includes benefits.
Candidates Reneging on Offers ⛔️
The majority of companies are not experiencing candidates reneging (accepting an offer and changing their minds before their start date or shortly after joining). For companies that are seeing an increase of candidates reneging on offers, they are mostly happening in companies between 100-500+ employees.