How does your company handle raises?

[dez1978]

The unlimited PTO thread made me think of this. With many businesses and public sector jobs having to raise the starting wage to get employees, how has that affected everyone who already made more than the starting wage? Did everyone get a raise? Was it an across the board raise, or was it based on something else? In my husbands business he raised the starting pay (dishwasher) from 11 to 14/hr, (idk what it is currently) so the cooks and others who had been there and were already making say 15/hr (just throwing out numbers for an example) all got a $3/raise to keep things even. Where I work (state job) they raised the minimum up to $15/hr and there were a TON of support staff (the jobs that don't require degrees -those are not my words, just how its described here)that made well under that. Like dietary people here, most made 11 or 12 an hr depending on if they were a aide 1 or 2. Most clerical staff made 12-14 an hr. So everyone got raised to 15, but those who were above the previous minimum ($11) did not get the same amount of a raise. So if you made $11 before you got a $4/hr raise. But if you made $14 before you got $1.30. So where there used to be $1-2 (or more) between 2 positions is now less than .50. It's caused a huge problem because who wants to take on a bunch of additional work and responsibility and have to supervise others for an extra $12 a week. Then as you move up the chain in job titles, the gap gets even smaller. 2 positions that used to have a 4500-5K a year difference between the 2 now have a $1200/ year difference. So I'm curious how other types of businesses handled it.

 

[tvguy]

Well, I would say it is questionable whether businesses are raising wages to attract workers. Many are just making do with what they can get. My last employer really spend a lot of time at College job fairs recruiting and hiring people about to graduate because they couldn't afford people with the experience they wanted.
And according to a Pew study the average public sector job pays 24% (total compensation) more that the same job in the private sector and here public sector jobs also tend to be union, so not an issue there here. The lowest level of state pay here is $25 an hour, and that is a special program where mentally disabled people are hired for basic entry level jobs. A guy I know has one of those jobs and he sorts mail for a state agency.

 

[soccerdad72]

Union workers in our college have negotiated increases in their 3-year contracts.

Non-union workers have generally received the same cost of living increases across the board (1 to 1 1/2% recently) plus an incentive increase based on annual rating of anywhere from 1 to 2 1/2%.

We're pretty underpaid compared to public companies, but the benefits are really good at least.

 

[Monoxide]

Where I work about 5 years ago they raised everyone to $15/hour(was $12/hour), if you were over $15 you got nothing
2019 they announce over the next 3 years everyone would be raised to @20/hour.
2020 they raised everyone $2.50/hour($17.50 starting)
2021 they raised everyone $1.00/hour($18.50 starting)
2022 they raised everyone to $20/hour and if you were over $20 you got nothing.
NEW for 2023 more vacation time if your between 2-9 years over 10 years thanks for your service but you get nothing more.
So for being a loyal employee for 20+ years I got 2 bags of sand so far and will get a 3rd to go pound next year.
Yearly performance raises of 3% have been consistent though.

 

[amylevan]

It caused quite a ripple the last year in my engineering firm. Once the young’uns were offered more money, those with experience starting complaining. So from my understanding, quite a few, up to about 10-15 years experience, were given an opportunity to renegotiate rates.

 

[kdonnel]

The school system my wife works for has raised Paraprofessional starting pay substantially.

They did raise the pay of any existing parapro employees who were below the new starting pay. But anyone that was already at or above the new starting pay did not see a bump.

Depending on where you were on the payscale, some were very happy to see the bump, others were angry that their years of loyalty were not rewarded.

 

[dez1978]

Well, I would say it is questionable whether businesses are raising wages to attract workers. Many are just making do with what they can get. My last employer really spend a lot of time at College job fairs recruiting and hiring people about to graduate because they couldn't afford people with the experience they wanted.
And according to a Pew study the average public sector job pays 24% (total compensation) more that the same job in the private sector and here public sector jobs also tend to be union, so not an issue there here. The lowest level of state pay here is $25 an hour, and that is a special program where mentally disabled people are hired for basic entry level jobs. A guy I know has one of those jobs and he sorts mail for a state agency.

It is absolutely not true in my state. Until we got that raise there were quite a number of people who made under $13/hr as state employees. Dietary, housekeeping/janitorial, almost all clerical staff (unless you were the secretary for a director somewhere) which would include our mailroom staff. All of those people and probably more that I haven't thought of made somewhere between 11 and 13.50/hr. Now all of those people sit at 15-15.30/hr. However, it is like #49 in pay for state employees. And while we have unions, constitutionally, we are not allowed to strike, tho idk how they would stop it. There aren't enough employees to fire the ones who would strike.

But here private businesses certainly did raise wages to attract workers. Many restaraunts and places like movie theaters around here also had pretty good sign on bonuses to attract new hires.

The school system my wife works for has raised Paraprofessional starting pay substantially.

They did raise the pay of any existing parapro employees who were below the new starting pay. But anyone that was already at or above the new starting pay did not see a bump.

Depending on where you were on the payscale, some were very happy to see the bump, others were angry that their years of loyalty were not rewarded.

That is pretty much how it is here. Someone who starts tomorrow will make the same as someone in the same job class thats been here 20 years and it makes people angry. And those who got just a small bump are now irritated that they have so much more responsibility and work than those who make just a few cents less than they do. Not gonna lie, sometimes I am one of them. I love my job and my bosses, but man the pay sucks. And then someone retired and I took on 95% of her duties in addition to what I was already doing, for less than $100 more a month. (and by took on, I mean volun-told) I am salty about that because prior to this, this new title would have been about 6k a year more than my old title. Now it's about 1000 which hardly seems worth trying to cram another 30hrs a week worth of work into my 40 hr schedule. I'll stick it out and hope they fix the compression issues, but we are having a hard time getting anyone to take on some of these positions.

 

[Colleen27]

What you describe seems to be more or less the norm around here. Entry level wages are rising but not those at mid level. DH and I have been half-joking, half-griping about how long it'll be before production, which requires no experience or training (as compared to his job which requires varying levels proficiency across the building trades), catches up with him. When he started, he was making $10/hr more than the starting wage for the assembly line. He's had two reasonably sized raises since then, one of them unscheduled because his boss realized the way things were going was not fair/sustainable, but now makes $5.50/hr more than production starting pay. And since they're union, their benefits are better at lower employee cost and they get more overtime where he mostly gets comp time for his extra hours, not to mention they get automatic increases at 90 days and then on anniversaries. He likes what he does and where he works so he probably won't jump ship, but from everything we've read, this compressing of the wage scale is normal and the best way to improve one's earnings is to job-hop rather than to try to negotiate better pay where you're at.

 

[nene0182]

Earlier this year, my company evaluated each position and assigned them different levels along with corresponding pay ranges. So for example if your job is considered “senior” level you can only make between $17-$28 per hour (I made those numbers up but I know it’s close to that and of course the pay scales overlap) Those that were found to be underpaid were brought up to fall within their range, if they were paid higher then their range nothing changed. When hiring managers post a job they must define what level they are hiring for which limits the amount we are able to offer a new hire. We try to bring someone in lower or at mid level to ensure there is room for merit increases but I know with my new hire I had to bring her in a little higher after searching for 6 months. This means that she will “tap out” sooner or her merit increases will not be as high to keep her within range. This means she will either need to find a way to level up or move on. This is all clearly listed for employees to have access to as well. I’m not saying I agree or disagree with it but it is what it is. I also know that the ranges for salary are a lot bigger.

 

[tvguy]

It is absolutely not true in my state. Until we got that raise there were quite a number of people who made under $13/hr as state employees. Dietary, housekeeping/janitorial, almost all clerical staff (unless you were the secretary for a director somewhere) which would include our mailroom staff. All of those people and probably more that I haven't thought of made somewhere between 11 and 13.50/hr. Now all of those people sit at 15-15.30/hr. However, it is like #49 in pay for state employees. And while we have unions, constitutionally, we are not allowed to strike, tho idk how they would stop it. There aren't enough employees to fire the ones who would strike.

All union here, that would never fly in this state.

 

[disneychrista]

The majority of our employees are union. They negotiate wages every year (or for several years at a time). The rest of us get the same wage increases as the negotiated ones.

They DID increase the starting wages for the entry level positions.

 

[Jennasis]

Oh that's easy...no raises.

 

[CdnCarrie]

Union so goes by our contract.
No issues attracting new staff.

 

[disykat]

I work a low paying job for "fun" in my early retirement. I could almost make more money to START working at McDonald's because they are trying to attract people. Now my job, which has never had trouble finding employees, is having trouble finding people. I have to remind myself I could still be working my old job full time and to stop bellyaching sometimes!

 

[starry_solo]

Raises? Whats that? Lol, I'm in a union . They negotiated a raise each year for the next 3 years? Negotiated during COVID so not great, definitely does not cover inflation but I guess its better than nothing.

 

[barkley]

The lowest level of state pay here is $25 an hour, and that is a special program where mentally disabled people are hired for basic entry level jobs. A guy I know has one of those jobs and he sorts mail for a state agency.

yeah, i don't think so.

i just went on the CalCareers website which the State lists job classifications, salaries, testing opportunities and open recruiting on-there are currently open and recruiting a WEALTH of classifications that pay WELL BELOW $25 per hour, i pulled up dozens upon dozens across the state. i strongly suspect the guy you know that was making $25 per hour as a disabled individual was in one of many specially funded programs that in actuality paid the person though i find that hourly wage suspect-california still has not entirely phased out sub-minimum wage laws for the disabled. the governor signed sb 639 last year but it's target date isn't until 2025. until then there are still disabled workers earning pennies on the minimum wage dollar.

 

[barkley]

It's caused a huge problem because who wants to take on a bunch of additional work and responsibility and have to supervise others for an extra $12 a week.

this was the basis for the civil service supervisory job classification i held to band together and become at the time one of the only unionized civil service management groups in the state i worked in (though i was not a state employee). several years before i promoted up there had been a massive number of pay equity studies that left some very savvy supervisory staff to realize that with the numbers being tossed around the staff they supervised could be making more than them. they were supportive of the raises but felt that those supervising the work should have a minimum pay differential. they were successful and a policy was put in place that required at minimum a 5% salary difference between a supervisor and any classification they might be called upon to supervise.

 

[EACarlson]

At my company it is all related to the work you are doing. When I was in the warehouse, if they had to pay more to hire a new guy, everyone in the warehouse got a raise. Now that I have no direct co-workers I got a large raise when the company saw what the average starting pay is for similar jobs to mine. I should find out in the next couple weeks what my annual "merit increase" is. I could go elsewhere and possibly make more money, but I've never been treated as well by a company as I have this one.

 

[willowsnn3]

The company I work for has always paid just a tiny bit over minimum wage for our hourly pay, but we get a monthly bonus which is pretty good most of the time.
Since we came back to work after Covid, we have been really short staffed. My boss said he could not compete with all the companies offering high wages & sign on bonuses.
About 3 months ago, after they did a lot of research, our office hours have changed. (Going in an hour earlier, leaving 2 hours earlier) So basically we are now working 32 hours instead of 40 plus. We did get a $2 raise & I have actually been bringing home around $30 more per paycheck since the change. And the bonuses have been larger. So I'm ok with it

 

[Cadiewampus]

Work for a private company. Have no clue to what anyone makes. Each employee talks to owner when its time for raise. He may have in mind what every position should make but I do not know what that is.