I understand that this place can't attract almost anyone anymore unless they offer higher pay to new hires. However, the management must understand that it is still not a very attractive salary, and in addition, there are still many things that need to be improved in order to attract and retain someone.
Giving newbies compensation equal to long-time experienced employees, while failing to improve the work environment, results in the following:
- drop in productivity
- hard working loyal employees leaving
- newbies also leaving
- the company losing money.