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Most people resent a raise lower than 7%, but no Resentment for not getting a raise

JEDI

JEDI

Lifer
http://www.psychologytoday.com/blog...mall-pay-raises-spur-motivation-or-resentment

A friend of mine recently received a 3.5% raise. His boss told him that the raise was "merit pay" and that it was in recognition for his stellar performance. My friend said the boss made it clear that he should be grateful for the size of the raise (others received an average of 1.5%), and that the company expected him to continue improving his performance. But is it reasonable for the boss to think that 3.5% would really motivate him?

How big does a pay raise need to be to work as an effective motivator?

Answer: about 7 to 8 percent in order for workers to feel pleased about the raise and motivated to work a little harder.


Question2:
how big a pay cut needed in order to have an adverse effect on employee morale and reduce motivation?

Answer: 5%


hm.. best of both worlds:
Give no raise, yet increase his health insurance premium by 3% of his salary.
win/win for the company 😱
 
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I get 2% at best. Last year I got nothing (cause we all needed to 'pitch in and keep the boat afloat'). I resented last year. I'm happy with this year.
 
So many people with no idea what the difference between a "raise" and a "cost of living increase".

Here's a hint: a 1.5% "raise" is really a pay cut, once you figure in inflation.

Edit: I resent it, but totally realize it's our new reality in the global economy. I think the US will see a LONG slide of wages until we're more in line with the rest of the world.
 
On one hand, if you add up the raising cost of living (healthcare, food etc) you would need good 7-8% raise JUST to keep up. As in STAY EVEN.

On the other hand, I'm always grateful for ANY raise.
 
There were many years I went with no raise. They told us to be happy we didn't get laid off like 5% of the workforce did and STFU as many companies forced people to take cuts.

I got like 2 or 3% a few times and was thrilled b/c I didn't really know any better.

That company was pretty shady in general, very low morale of the workforce, people worked just hard enough not to get fired, the upper management took all the bonuses and didn't share the wealth and finally sold the company causing 50% of the people to basically lose their jobs.

My new company is awesome though.
 
I can understand people would be less happy with the small raise if it comes attached with a "I really busted my ass essentially not giving you a pay cut after inflation so now you need to work harder too." It makes it sound like they gave it too you with total resentment and that they plan to fire your ass as soon as possible.
 
I had to listen to two coworkers bitch about their inadequate increases this year, and all I could think was "Hmmm, beats having no job..." When I gently suggested this thought to them, both glared at me like I was Satan incarnate. What's the expression? "I complained that I had no shoes....".
 
I'm happy with 3-4% these days. We have a strong possibility of a pay freeze for the next 3 years, I will definitely resent that. Inflation hurts.
 
jhansman said:
I had to listen to two coworkers bitch about their inadequate increases this year, and all I could think was "Hmmm, beats having no job..." When I gently suggested this thought to them, both glared at me like I was Satan incarnate. What's the expression? "I complained that I had no shoes....".
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Perhaps you haven't been watching your income stagnate long enough to be sick and fucking tired of that line of reasoning.

It's true, to a point, but the reality is that (class warfare time!) the middle class is disappearing, pushed down by pressures both global and corporate. The twats at the top have to have their golden parachutes and stock options while the people who do the work have to pitch in to 'help keep the ship afloat'.
 
rivan said:
The twats at the top have to have their golden parachutes and stock options while the people who do the work have to pitch in to 'help keep the ship afloat'.
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I hear ya, but these days having a shitty paying job is far, far better than looking for one. Those at the top will (usually) be unaffected by the things that fuck up our world in a heartbeat. It's not fair and shouldn't be, but there it is. This is yet another reason why people screw each other over and step on whomever to get there, making those of us who won't or can't do such things only more cynical and bitter. And on we go....
 
rivan said:
So many people with no idea what the difference between a "raise" and a "cost of living increase".

Here's a hint: a 1.5% "raise" is really a pay cut, once you figure in inflation.

Edit: I resent it, but totally realize it's our new reality in the global economy. I think the US will see a LONG slide of wages until we're more in line with the rest of the world.
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LOL - Maybe if our economy was inline with the rest of the world, I would agree. Oh, and health care and a vacation policy!

Oh wait ... Maybe if the US caught up to the rest of the world in the way they treat employees (and no, I'm not talking about treating us like sweat shop workers ...) Unfortunately, the US is nothing like the rest of the world in terms of living (we're too far spread out to increase the cost of living without increasing the means of public transportation) and social or employee morale, see average US vacation of 2 weeks vs. say, Germany with a state mandated 4 weeks minimum and 30 day average per employer.
 
dougp said:
LOL - Maybe if our economy was inline with the rest of the world, I would agree. Oh, and health care and a vacation policy!

Oh wait ... Maybe if the US caught up to the rest of the world in the way they treat employees (and no, I'm not talking about treating us like sweat shop workers ...) Unfortunately, the US is nothing like the rest of the world in terms of living (we're too far spread out to increase the cost of living without increasing the means of public transportation) and social or employee morale, see average US vacation of 2 weeks vs. say, Germany with a state mandated 4 weeks minimum and 30 day average per employer.
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I want my 4 day weeks and 2 hour nap breaks!!
 
dougp said:
LOL - Maybe if our economy was inline with the rest of the world, I would agree. Oh, and health care and a vacation policy!

Oh wait ... Maybe if the US caught up to the rest of the world in the way they treat employees (and no, I'm not talking about treating us like sweat shop workers ...) Unfortunately, the US is nothing like the rest of the world in terms of living (we're too far spread out to increase the cost of living without increasing the means of public transportation) and social or employee morale, see average US vacation of 2 weeks vs. say, Germany with a state mandated 4 weeks minimum and 30 day average per employer.
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If you think the German standard of living is a good example of "the rest of the world", I'm not sure we're going to see eye to eye. 😉

There are far too many people in the world living FAR worse than the US; they're the people making our shoes and ipods right now. We are selling them our standard of living $149 at a time. And it won't be until those people are all exploited the shit out of, then revolt in their own way (like the US worker did with the advent of Unions) against their system of oppression that our standard of living will stop sliding.
 
rivan said:
If you think the German standard of living is a good example of "the rest of the world", I'm not sure we're going to see eye to eye. 😉

There are far too many people in the world living FAR worse than the US; they're the people making our shoes and ipods right now. We are selling them our standard of living $149 at a time. And it won't be until those people are all exploited the shit out of, then revolt in their own way (like the US worker did with the advent of Unions) against their system of oppression that our standard of living will stop sliding.
Click to expand...

We're not the rest of the world, we're not a 3rd world country. I'm sorry, but comparing the US to the rest of the 3rd world is an ignorant way to look at it. Compare us to the rest of those countries within our qualifications.
 
It is my belief that any company not providing at least a 6% yearly raise to its engineering team has defective executive management.
 
Vdubchaos said:
On one hand, if you add up the raising cost of living (healthcare, food etc) you would need good 7-8% raise JUST to keep up. As in STAY EVEN.

On the other hand, I'm always grateful for ANY raise.
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this. i havent had a raise in 4 years. or a bonus in two. even the management profit sharing bonuses arent being given lately, and its getting difficult. id love to see a 2% raise (CoL, whatever).
 
rivan said:
So many people with no idea what the difference between a "raise" and a "cost of living increase".

Here's a hint: a 1.5% "raise" is really a pay cut, once you figure in inflation.

Edit: I resent it, but totally realize it's our new reality in the global economy. I think the US will see a LONG slide of wages until we're more in line with the rest of the world.
Click to expand...

:thumbsup: At my last job they made a huge deal about our raises and how they were rewarding us for our hard work (crazy busy year) but after they increased our health care and inflation I saw an extra $6 a month

Anyway - hopefully you know your company well enough to know how they are doing financially and can base your reaction somewhat on that. It's part of the reason it's my 'last company' and not 'current company'
 
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