Salary pressure and costly delays are the greatest challenges to hiring at small and midsize companies, according to a survey by professional staffing firm Robert Half. 

Nearly half of hiring managers at small and midsize firms reported meeting candidates’ salary expectations was their greatest hiring challenge between now and the end of the year. 

Hiring delays were cited as another top challenge by four in 10 hiring managers. This relates to losing top candidates to competitors because of a slow hiring process. Robert Half noted that prolonged hiring cycles can also lead to heavier workloads, burnout and turnover of existing staff. Nearly half of hiring managers at small and midsize firms are experiencing higher rates of turnover because of how long it takes to hire. 

“Small and midsize businesses face unique challenges when it comes to attracting and retaining top talent,” Dawn Fay, operational president of Robert Half, said in a press release. “In today’s market where workers are being selective about their next opportunity, these employers need to be creative, agile and efficient in their hiring practices to compete effectively and build strong, resilient teams.” 

Other top hiring challenges cited by hiring managers at small and midsize firms includes a shortage of skilled talent and finding the right culture match. Four in 10 cited the skills shortage as a difficulty, and four in 10 called out the struggle to find candidates that align with their corporate structure. 

Robert Half’s survey included 1,700 hiring managers at small and midsize firms. Robert Half defined small firms as those with between 20 and 99 employees. Midsize firms are defined as those with between 100 and 999 employees. 

Robert Half’s hiring advice for small and midsize firms includes: 

• Take inventory and think beyond salary. Small and midsize firms should promote their strengths and differentiators. 

• Hire quickly. Small and midsize firms have fewer stakeholders involved in the hiring process and can face less red tape than larger firms. 

• Be willing to bend on requirements. Consider options to train and upskill high-potential candidates. 

• Partner with a recruiter. A specialized recruiter can help a small or midsize firm market themselves to job seekers.