It’s Not Too Early to Start Planning Your 2009 Pay Strategies
In a recent article for The Career Journal in the Wall Street Journal, Sarah Needleman writes about planned compensation increases for 2009 based on the research of many employment consulting firms like Mercer consulting and Watson Wyatt Wordwide.
Overall, the average raise for 2009 is expected to be 3.7% — just slightly below 2008, which was an average 3.8% increase. With the tightening of budgets, how you rate on performance will be more important than ever as “middle of the pack” and “low performers” will likely see less dough. Employers said they plan to give their highest-rated workers — an estimated 14% of their work forces — an average merit increase of 5.6% in 2009. The lowest performers, who represent 7% of workers, are likely to receive just a 0.6% salary upgrade. For someone making $105,000, how you rate at annual review time could be the difference of more than $5000 per year.
So how can you get ahead?
- Check in with your boss. If you haven’t had an official mid-year review, make an appointment to see how you’re performance is stacking up to his/her expectations and your peers. Ask if there are things you can do to improve or if there are any assignments that you can take on to expand your experience
- Gut check yourself.Use Glassdoor.com to see what the average salary and bonus are for your position in your company and industry (check competitors) so you can use in your conversations. (Stay tuned: Glassdoor will soon let you look at salary information by years of experience and location so you can more easily know where you fall).
- Stay engaged. A review or check in isn’t just a one-hour meeting. It’s what you do day in and day out of each work week in the year that matters. Make sure you have set goals you review with your boss at the beginning of the year and check in periodically to see how you’re performing
If you are an employer let us know any other suggestions you have that can help employees get an edge come review time.