How to compete with big business when it comes to attracting staff

As a small business leader, it can feel impossible to match the pull power of larger organisations when it comes to attracting staff. Richard Spencer, Chief Customer Experience Officer at My Business, explains what it takes to compete with the big guns to attract and retain the best employees for your small business.

One of the biggest issues facing small business owners in Australia at the moment is how to attract and retain quality staff. We’ve all seen the stories of cafes forced to close early, pubs closed on public holidays and sadly, even businesses closing the shutters for good because they simply can no longer survive.

The financial damage of having to reduce opening hours or decrease production due to staffing shortages is the final straw after COVID.

As a small business owner it’s easy to feel overwhelmed when it comes to recruiting, especially with larger organisations seemingly having greater pull power and the ability to outbid for workers.

But there is hope. A recent survey by My Business found 38 per cent of the Australian public would rather work for a small business than a large organisation. That’s two in five.

However, the sticking point seems to be luring the right ones in for the interview. The same survey found 77 per cent of SME owners have found the quality of job applicants average or below. They seem to be struggling to find the right people.

Three people at a desk, shaking hands and signing a contract

Five steps to attracting great talent

So what can you do to compete with larger organisations when it comes to attracting quality talent? These are my top tips for small and medium-sized businesses wanting to attract staff:

1. Give them equity

Think about involving your people in the business through an employee share scheme. These are now easier and much cheaper to put in place than they previously were, and they’re a great incentive to attract quality job candidates that relieves the pressure of having to offer competitive salaries.

By allowing your employees to share in the growth and success of your business, you’re also giving them a reason to stay.

2. Be flexible

Staff these days are valuing flexibility over anything else. Think outside the box. Don’t just offer remote or hybrid working, but reconsider non-traditional working hours and be open to job sharing.

3. Be human

People want to work for businesses that care about more than money. Small businesses have a huge advantage over larger organisations because they can take advantage of their flatter organisational structure to make their staff feel cared for and valued.

4. Employee benefits

Re-evaluate what benefits you’re offering staff and what they cost to the business. Some of the most popular benefits you could offer are also cost-effective, such as shorter Fridays during the summer months.