It’s no secret than many Halton residents are living paycheque to paycheque to get by, and a raise might be what’s holding many residents back from living comfortably. Are you satisfied with your income?
Asking for a raise is a pretty touchy topic — if you’re an employee, you want to be paid fairly, you might not know how your employer will respond, you might know your work is worth it but not know how to approach the conversation, or asking for a raise might not be top of mind for you. And if you’re an employer, your funds are likely limited.
According to a new report from job search engine Indeed.com, more than half (52 per cent) of workers are definitely (24 per cent) or possibly (28 per cent) going to ask their employer for more money in 2018.
“In fact, on average Canadians say that they would like to earn an average of $11,882.96 more per year to live comfortably,” according to Indeed.com.
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It’s true that the majority of Canadians are unsatisfied with their income. The study finds that 83 per cent of Canadians are dissatisfied with their salaries, saying they would like to earn more this year, while just 17 per cent say they are satisfied.
So, who’s planning to ask for a raise?
Most of those who plan to ask for a raise are millennials, according to Indeed.com — more than three in ten (33 per cent) 25 to 34-year-olds said they are definitely going to ask for a raise, but only 16 per cent age 55 and older are planning to.
“One reason that millennials may be more likely to ask is that they are early in their careers, so they make less money than older employees,” says Indeed.com.
Those employees who plan to ask for a raise have moderate expectations: 47 per cent of respondents said they would ask for six to ten per cent increases, while the majority want seven per cent on average.
“Again, millennials are the leaders, with respondents aged 25 to 34 looking for an average increase of eight per cent, versus 45 to 55-year-olds and those who are 55+, who are planning to ask for 6 per cent on average.”
There’s definitely a gender divide here, too.
“On average, our male respondents plan to ask for eight per cent, but females will seek seven per cent.”
A pay increase might be overdue for many. According to Indeed.com, the average amount of time that workers last had a pay increase was a year and seven months ago.
Employees plan to ask for raises for a number of reasons. First, there’s the cost of living.
“A rise in the cost of living is the number-one reason our respondents (58 per cent) want raises. In November 2017, the annual inflation rate hit 2.1 per cent, which means the average salary will buy that much less.”
Forty-nine per cent of respondents feel like they have earned a raise, while 32 per cent have taken on more responsibilities without a pay increase as of yet, and 22 per cent feel a raise is overdue.
That said, 77 per cent of respondents would be open to better benefits instead of a pay raise.
In any case, it can be difficult to flat out ask for a raise.
“Employers should carefully consider the long-term value of each employee and the relationships they want to build with them. Larger raises may be appropriate for some, but for others, improved benefits can go a long way,” advises Indeed.com.
“On the employee side, employees need to prepare well in advance for that salary conversation. Look for ways to measure and demonstrate how your initiatives have helped your employer, and look at job postings on Indeed.com to see how you compare to those job descriptions and salary ranges.”
Keeping a year-round journal to track your added value and accomplishments can help when it comes time to that conversation, as well as being realistic with the amount you’re asking for, according to Indeed.com.
Regardless, dissatisfaction with compensation is an unfortunate reality for many, but asking for what you want is often the first step to getting it.
This survey was conducted by Censuswide on 1,000 currently employed Canadians in December 2017.