Philippine recruiters warn against job title inflation
MANILA, PHILIPPINES — A recent survey by recruitment firm Robert Walters reveals a growing trend of employers inflating job titles in an effort to attract and retain top talent.
This practice of exaggerating roles, known as “job title inflation,” is becoming pervasive across modern organizations.
“We have seen an increase in specific job titles, mainly covering leads or even managers that are not basically aligned with specific job titles,” Jason Mendoza, Manager of Human Resources and Industrial at Robert Walters Philippines, told ABS-CBN News Channel (ANC).
The study found that 38% of hiring managers in the Philippines are considering or have already inflated job titles to attract or retain employees, but only 3% said this worked out well for their organization. The trend is also present in other countries.
“It’s not actually here [in] the Philippines but more countries in Southeast Asia. In fact, there are also studies in the Middle East specifically in Dubai, and even in the U.S., actually.”
Mendoza cited examples such as a receptionist being called a ‘Manager of First Impressions’ or a customer service representative a ‘Director of Customer Success.’
Impact on employee retention
While inflated titles can motivate employees without costly raises, the tactic carries risks.
“Workers may eventually lose interest or motivation, when reality sets in that there is little or no commensurate compensation behind these titles,” Mendoza explained.
He emphasized that workers may feel deceived when they realize the insignificance of their roles within the organization, potentially leading them to seek opportunities elsewhere.
Mendoza said job title inflation is commonly seen in sectors where there is intense competition for talent and strong reliance on creativity like technology, startups, digital media, marketing, advertising, and professional services.
Need for better employee experience
Mendoza advises companies to ensure that employee journeys are well-supported from onboarding to offboarding, emphasizing skill development to fill any gaps between title and function.
Despite the challenges, job title inflation appears to be a continued strategy for engaging certain demographics, including Gen Z, who are surprisingly attracted to prestigious titles despite their focus on substantive compensation and benefits. The future of job title inflation remains uncertain as workplace dynamics evolve.
“We just have to be very careful in talking about the candidates, in making sure that they know what specific positions they’re applying [for], they ask our descriptions, and also, they align their goals where they would want to be in the next few years,” Mendoza added.
