With inflation nonetheless consuming into hard-earned pay cheques, a pay rise would possibly really feel as possible as a New 12 months’s want for UK workers. However because it seems, bosses are nonetheless open to elevating salaries within the present financial local weather.
In a survey of 546 UK companies, performed on the finish of final yr, Startups uncovered that 82% of corporations plan to boost worker wages within the subsequent 12 months.
Firms are waking as much as the monetary pressures on staff and the fierce competitors in right now’s tight labour market. 71% of companies really feel assured they’ll meet worker pay expectations, signalling a dedication to attracting and retaining expertise this yr.
Beneath, we provide a sensible information to tabling the movement for a wage rise in 2024. Armed with laborious details and clear information, we’ll clarify the best way to land the increase you deserve and how a lot to ask for.
Learn how to ask for a pay rise in 2024
We’re famously dangerous at speaking about cash within the UK, significantly in the case of our earnings. Wage is a topic that’s thornier than most. Actually, it feels nerve-wracking to breach it with a supervisor.
Nonetheless, requesting a increase is knowledgeable dialog, not a confrontation. You might be way more more likely to arrive at an answer you and your employer are proud of for those who method it like every other work request: with loads of planning.
Listed below are 5 methods to method to enhance your probabilities of receiving a increase this yr:
1. Know your price
When calculating your dream wage, it’s vital to dive deeper than a casual survey of your colleagues. Essentially the most correct outcomes are obtained by trade benchmarking.
Look at information that impacts wage weightings like trade, location, expertise stage, and firm dimension. Use a number of sources for higher precision, reminiscent of skilled networks, trade reviews, and even nameless worker platforms like Glassdoor.
2. Go face-to-face
Skip the Slack ping. Show you’re severe concerning the topic by scheduling a proper assembly along with your supervisor, or elevating it throughout a related event reminiscent of a efficiency overview.
Bear in mind to decide on your timing correctly. Keep away from busy buying and selling intervals or instances when the corporate is perhaps going through monetary difficulties, as that is extra more likely to lead to a damaging response from administration.
3. Quantify your achievements
Make it simpler for managers to overview your case by turning your good deeds into quantifiable information. Collect metrics like gross sales figures, KPIs met, or constructive shopper suggestions. Be particular about what you’ve achieved since your final pay overview
Having this proof handy will add punch to your case, demonstrating your worth past subjective claims, and likewise make it tougher for the employer to pose any potential arguments towards a increase.
4. Transparency issues
If you’re a freelancer or sole dealer, it’s a good suggestion to constantly look at your pricing technique to guage whether or not your prices would possibly want to extend. This can be a completely legitimate measure to take, significantly as demand grows to your companies.
Nonetheless, it’s essential that purchasers don’t really feel blindsided. Give loads of warning, and emphasise the added worth you deliver them. Take into account providing a brief low cost to ease them into the brand new fees as a goodwill gesture.
5. Discover win-win options
Firms have budgets and constraints. Should you turn into hooked up to a particular determine and don’t permit for wriggle room, you would possibly end up caught in a impasse.
Put together a number of remuneration choices you’ll settle for that align with the corporate’s price range and priorities. These would possibly appear like various worker advantages, a phased wage improve, or outlined further obligations you would possibly tackle because of the rise.
How a lot of a increase ought to I ask for?
Final yr, a scarcity of expert labour throughout all sectors noticed many organisations inflate salaries as a solution to entice job hunters. Following months of document will increase, this tempo has since slowed as wage progress turns into not possible for cash-strapped companies to take care of.
The Startups survey additionally requested respondents how a lot they plan to extend worker salaries by with the intention to match pay calls for. Based mostly on the outcomes, whereas calls for for greater wages would possibly persist, excessive spikes in salaries are unlikely to turn into widespread.
Nearly all of bosses anticipate will increase between 4-6% within the yr forward. This determine aligns with the present financial local weather, the place corporations search to stability worker wants with budgetary constraints.
Notably, the vary barely surpasses the most recent inflation fee of three.9%. This implies that the necessity to stay aggressive within the battle for expertise, and encourage present employees, surpasses monetary considerations for some companies.
|Proportion of respondents
|Improve by 1-3%
|Improve by 4-6%
|Improve by 7-9%
|Improve by 10%
|Improve by 11%+
|I don’t plan to boost worker wages
Hidden components affecting your wage increase
Startups’ survey additionally highlights pockets of great wage progress. For a lucky 14% of workers, a increase of 10% or extra is on the playing cards this yr.
A number of components contribute as to if a enterprise can afford to swell its labour prices. It is very important pay attention to exterior or cultural components that may have an effect on the end result of your request for a much bigger chew of the wage cake.
Monetary efficiency is an apparent influencer. Throughout a interval of downturns or low profitability, reminiscent of in right now’s economic system, raises is perhaps much less possible as a consequence of stricter budgets.
Location and sector is one other. Salaries inside your trade and for related roles in your geographic space also can sway what the corporate considers a good compensation, which is why trade benchmarking is so vital when submitting a request.
Some corporations may additionally have established pay overview schedules or particular standards for awarding raises, whereas others is perhaps extra versatile of their method.
Getting a increase is a two-way dialog. By understanding the components concerned and approaching the negotiation strategically, workers can considerably improve your probabilities of securing the compensation they deserve – whereas conserving managers and managers pleased.
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