More employers than ever before will be basing increases in compensation on performance for this year. In 2007 this meant the top producers got pay increases in the range of 5.7 percent; the next highest 4.5 percent. The lowest rated 1.7 percent. The average was about 3.8 percent. The same can be expected in 2008, according to Mercer Human Consulting. That’s just about the rate of inflation.
But that’s only part of the story. Employees classified as “executives” received incentive payouts averaging 47 percent of their base pay. Those in “management” got 22 percent.
For the sake of our blood pressure, we won’t go into the pay packages for CEOs.
Mercer Consulting reports that employees’ contributions to the company are increasingly being compared against others in their departments, as well as all employees in the organization. And higher raises go to the best performers in certain departments such as information technology.
Despite the talk of a recession, it’s an “employee market”. The competition for top talent is heated. So employers are offering signing bonuses to get the best producers. Also, many employers provide more flexibility on the job. This includes telecomuting, flex time and compressed workweeks.
The message is clear: If you want to get ahead you’ve got to produce.
I wish you success!!!
Ramon Greenwood, Head Career Coach
Common Sense At Work
P.S. If you find this and other postings on this blog interesting and helpful on your career path, I think you’ll want to take a look at my f#ee semi-monthly newsletter, The Career Accelerator. Click here for more information.