Yahoo Finance Aussie bosses reining in pay rises: ‘No guarantee’
There’s no guarantee who will get a pay rise this year and by how much.
Aussie workers shouldn’t expect to get the same pay rise as previous years, despite the soaring cost of living.
More than half (58 per cent) of Aussie employers are going to be basing pay rises solely on individual or company performance this year, rather than looking at pay boosts as a form of staff retention.
A fifth (20 per cent) of employers would base pay rises on tenure, a Robert Half survey found, while 22 per cent said it would be based on tenure, as well as individual and company performance.
Also read: Why you’ll have to wait a year for a real pay rise
Also read: Aussies need $6,442 pay rise to keep up with cost of living
Also read: ‘Loud quitting’: The risky work trend that could land you a pay rise
Robert Half director Nicole Gorton said the employment market was shifting and businesses were “rightsizing” themselves and taking a more cautious approach to remuneration.
“Even with the rising cost of living in the spotlight, there is no guarantee who will receive a pay rise this year, and how much. Salaries cannot and will not continue to rise at the rate they did in the previous two years,” Gorton said.
Many businesses are now turning to benefits as a substitute for a pay rise. According to Robert Half, seven in 10 employers are planning to increase benefits this year, with flexible work schedules (60 per cent), mental health programs (55 per cent) and remote-work options (52 per cent) all on the agenda.
5 tips to secure a pay rise
So, how can Aussie workers ask for a pay rise and actually get one? Robert Half offered the following tips for those seeking a performance-based increase:
Record your achievements. Quantify and write down what you have achieved in the past six to 12 months and clearly outline how your achievements have positively impacted the business.
Set a meeting. Once you have built your case, speak to your manager about when a pay-review meeting can be booked in. Having an agreed timeline can give you peace of mind knowing your pay will be addressed.
Practise your pitch. Practise how you will deliver your pitch beforehand, take a gracious approach when outlining your achievements and speak clearly and concisely.
Check market rates. Make sure you are being compensated correctly for your role. You can check salary guides to get an idea of the current landscape.
Know when it’s time to move on. If you are unable to get a pay rise for your performance or get clarification on when your salary can be reviewed, it could be time to consider moving on and looking for other opportunities.
Follow Yahoo Finance on Facebook, LinkedIn, Instagram and Twitter, and subscribe to our free daily newsletter.
