This has been my exact experience as well. A bunch of people at my current place of work resigned (not all at once) to go work for another company, not because the company is bad, boring or toxic, but because their salary was becoming too low relatively to the market and inflation levels.
My current employer isn't willing to raise the salaries of its current employees, not the market ones, but to the level of what they are offering to new hires.
This, in my opinion, is wrong. This also inevitably leads to eventually paying everyone at market value (old employees leaving replaced by new ones with up-to-date salaries) except that you as a company lost a lot of business experience in the process.
Even in the case that no company on earth would disclose salaries, workers will inevitably learn about what their current market value is and to some extent what new hires and colleagues roughly earn. Because they have friends and colleagues that are open about disclosing their salaries. Trying to hide salary information is just lying to yourself (as a company).
Companies should budget for hire once their workforce is roughly on par with the market, salary wise. It's not the only factor but they would be able to retain much more talent and expertise inside the company and eventually be able to generate more value. This situation in my opinion is one of the big reasons (out of many others of course) why most companies eventually turn bad after some time.
My current employer isn't willing to raise the salaries of its current employees, not the market ones, but to the level of what they are offering to new hires. This, in my opinion, is wrong. This also inevitably leads to eventually paying everyone at market value (old employees leaving replaced by new ones with up-to-date salaries) except that you as a company lost a lot of business experience in the process.
Even in the case that no company on earth would disclose salaries, workers will inevitably learn about what their current market value is and to some extent what new hires and colleagues roughly earn. Because they have friends and colleagues that are open about disclosing their salaries. Trying to hide salary information is just lying to yourself (as a company).
Companies should budget for hire once their workforce is roughly on par with the market, salary wise. It's not the only factor but they would be able to retain much more talent and expertise inside the company and eventually be able to generate more value. This situation in my opinion is one of the big reasons (out of many others of course) why most companies eventually turn bad after some time.