NEW YORK (BankingMyWay) – For employees hoping for a salary increase, next year is shaping up to be a lot like this year – and pretty much every year before that going back to 2008.
It will be a weak one, according to industry sources.
A study from the human resources firm Mercer tells the tale. The company is out with a report showing that employers are tossing raises around like manhole covers.
What raises employees do get will be incremental. Mercer says the average raise will be about 2.9% next year, slightly above the 2.7% average salary hike staffers saw last year and this year.
At 2.9%, the average salary hike is ahead of the U.S. inflation rate, but just barely. According to TradingEconomics.com, inflation stands at 1.5% these days. That means even if you do get a raise, it may be just enough to keep up with the economic status quo.
Furthermore, the report notes continued favorable treatment for employers, but not employees. With unemployment high, employees are staying put. That means companies don’t have to attract new workers, or at least a lot of them, and can thus keep salaries low.
What can workplace warriors do to pry out a decent raise from their companies? Nobody is saying it’s easy, but it can be done – if you follow the following steps:
Don’t ask until you do your research. Staffers looking for a raise should conduct some basic due diligence first. Find out as much as you can about your company’s financial condition. If it’s a public company, your employer has to release its financial performance. (TheStreet.com tracks the performance of thousands of publicly traded companies.) If your company is private, ask around; talk to insiders who know how the company is doing from quarter to quarter.