Employers are turning to signing bonuses to try and lure in new workers
- Employers are increasingly offering signing
bonuses, according to ZipRecruiter data.
- The bonuses are meant to lure workers to positions in the midst of labor
- But one-time bonuses are a popular strategy because they're temporary.
Businesses need workers, and some firms are shelling out some extra cash to make that happen. That means that job seekers could get at least an extra $500 just for accepting a position.
Julia Pollak, a labor economist at job search site ZipRecruiter, found that the number of positions offering signing bonuses has skyrocketed in recent months. According to a chart she shared on Twitter, about 20% of positions in May offered a
According to the Journal, Missouri, Arkansas, Wyoming, Vermont, and Iowa had the most postings offering signing bonuses. Those are all states that are hovering slightly below - or just above - economic conditions prior to the pandemic.
In Georgia, a forklift-operator position at Kubota Manufacturing of America comes with a $2,000 signing bonus. The Journal spoke to Phil Sutton, a vice president at the company, about that extra cash. He told the Journal that the bonus is paid out in increments - with 25% given out 30 days into work, the next 25% at 60 days, and the rest when the worker hits 90 days - and that's it's "been a great success in terms of recruiting."
The decision to offer a signing
Pollak told Insider on Tuesday that employers don't know if labor shortages will be a long-term issue, or whether they will recede when short-term factors like enhanced unemployment benefits and school closures come to an end. Currently, 26 states have opted to cut off federal benefits early, and all enhanced benefits are set to end in September.
That's why opting for signing bonuses is a popular strategy to lure in workers - for now.
"It's something that they can reverse later if there is really a wave of job seekers into the
While one-time bonuses might be one way to temporarily address the problem, Heidi Shierholz, the director of policy at the left-leaning Economic Policy Institute, previously told Insider there could be a more simple, compensation-based solution: Raising wages altogether.
- Realme GT Neo 2 5G review: Great performance, fine display but camera needs work
- Cisco says a company 'leader' who encouraged TikTok followers to report strippers to the IRS is no longer employed at the company
- A half-mile installation just took 20,000 pounds of plastic out of the Pacific - proof that ocean garbage can be cleaned
- G7 leaders favour CBDCs provided they ‘support and do no harm’ to central banks
- India's farmers protest takes a gruesome turn with a chilling murder at the scene — here’s the sequence of events
- Bizarre! Shubhman Gill was brought back to bat after being declared out
- Ruturaj Gaikwad and Faf du Plessis — amazing data on how the two openers led CSK to IPL 2021 championship
- Budget and safety top criteria for Chennai households during festive season:LocalCircles
- India T20 World cup Jersey
- Photo Editors Apps
- Advantage Club Hiring
- Best Indian Companies
- Dussehra Messages
- Punit Goenka
- Motorola Edge 20 Mobile
- Google TV stick vs Amazon Fire TV stick
- Oneplus 9rt smartphone
- Samsung Galaxy M52 review
- Nykaa IPO
- India Coal Crisis
- iPhone 13 vs iPhone 13 mini
- IRCTC Share price
- Maximum Sixes
- Tata Sons