What’s the cost of a poor corporate reputation? Quite a bit, at least in terms of talent acquisition.
Companies like Toyota Motor Co. and energy giant BP may still be able to hire talented workers, but they’ll have to pay them significantly more than others that have never been the subject of criminal investigations.
A survey sponsored by global recruitment firm Alexander Mann found that a damaged corporate reputation won’t keep workers from hiring on — 70 percent said they’d take a job — but the salary bump would have to be better than 53 percent. Contrast that with the 93 percent who said they’d leave their current employer to go with a company that had a good reputation. And, on average, they said they’d accept a raise of about 33 percent.