Salary levels across supply chain, operations, and engineering have shifted quickly in 2025. Many SME leaders are discovering that the ranges they planned for no longer attract the talent they need. Offers that seemed competitive 18 months ago are now being declined before candidates even reach the interview stage.
This blog explores what is driving these changes, the risks for SMEs who do not adapt, and practical ways to stay competitive in the current New Zealand market without overspending.
Why Salaries Have Shifted in 2025
Several key factors are pushing salaries upward across supply chain and engineering recruitment:
Talent scarcity: Specialist roles such as supply chain planners, maintenance engineers, and production managers remain in short supply. The talent pool simply isn’t deep enough, creating competition across industries.
Competing industries: Construction, logistics, and manufacturing all draw from similar skill sets, pushing demand higher and increasing salary expectations in 2025.
Cost of living pressures: Candidates are reassessing what makes a move worthwhile. With living costs still rising across New Zealand, lower offers are quickly ruled out.
Passive candidate influence: Many of the best hires are not actively job-hunting. They only consider moving if the salary and overall package feel compelling, which puts extra pressure on SMEs to present stronger value.
The SME Salary Trap
For many SMEs, salary discussions start with last year’s budget, not this year’s market. Some rely on outdated salary surveys or what they paid when they last hired for the role. This approach often leads to:
- Strong candidates turning down interviews or offers
- Hiring processes dragging on for months
- Businesses settling for less suitable hires just to fill the gap
This isn’t about paying extravagant salaries, it’s about understanding how fast the engineering and supply chain job market has moved and adjusting accordingly.
When to Rethink Your Salary Band
How can you tell if your salary range is out of step with the market? Look for these signs:
- Applications slow to a trickle after the first two weeks
- Candidates asking more about flexibility, progression, or benefits than base salary
- Shortlisted candidates withdrawing late in the process
One SME client recently learned this lesson the hard way. After offering a package $10,000 below current market levels, their preferred candidate declined. By the time the salary was reviewed, the candidate had accepted a competitor’s role. Months were lost, and the vacancy remained open.
Situations like this highlight how crucial it is to align pay with current SME recruitment market data rather than relying on internal assumptions.
What SMEs Can Do (Without Always Paying More)
Not every solution involves increasing salary. SMEs can take several smart steps to stay competitive in 2025:
1. Benchmark properly
Go beyond published salary surveys. Draw on insights from recent placements, candidate conversations, and real-time feedback from recruiters who understand the New Zealand supply chain and engineering sectors.
2. Reframe the package
Non-salary benefits can carry real influence. Flexibility, professional development, and wellbeing support often make the difference between acceptance and rejection. Highlight what makes your workplace genuinely appealing.
3. Redesign the role
If the market value exceeds your budget, consider reshaping the position. Splitting responsibilities across two roles or refining the scope can be more effective than chasing an unattainable candidate profile.
Taking these steps keeps your supply chain hiring process agile while maintaining financial balance.
How RecruitNet Helps
At RecruitNet, salary benchmarking is an ongoing process, not a one-off task. Our goal is to help New Zealand SMEs attract and retain the right people in competitive industries.
We begin with a detailed diagnostic role briefing, factoring in current market conditions and the realities of supply chain, operations, and engineering roles. Our consultants draw on real-time insights from both active and passive candidates to provide honest, data-driven advice before you go to market.
This ensures you avoid wasting months chasing candidates who were never going to accept in the first place. Our approach helps SMEs secure the right people faster, with offers that make sense for both sides.
Wrapping Up
Salaries in 2025 are not standing still. For SMEs, relying on old data or outdated budgets risks slow, costly, and frustrating recruitment outcomes. The market has moved, and the smartest way to compete is to align your offer with current expectations.
If your role has been advertised for weeks without results, the issue may not be your job description, it might be your salary.
Get in touch with RecruitNet for a salary sense-check based on today’s engineering and supply chain job market in New Zealand, not last year’s numbers. We can help you stay competitive, attract stronger candidates, and fill roles faster without unnecessary overspending.