Not much is changing in the forecasting of salary growth for 2020, with budgeted growth just above 3%. That hasn’t changed in nine years, but what has changed is lower unemployment and a tighter labor market. So sometimes doing the same old salary budgeting may not be the retention strategy that keeps your loyal, highly skilled employees with your company.
I’ve always advised my clients to look at compensation as more than just a salary, and to take more of a 360-degree view of how an employee is rewarded. Compensation isn’t a one-size-fits-all strategy, and a compensation program that is compliant with the Fair Pay Act, but also keeps your highly productive employees engaged, and will keep your company productive and profitable, is the goal.
Check out this article by Stephan Miller, CEBS, published by the Society for Human Resource Management (SHRM) July 26, 2019, which provides a comprehensive overview of expected salary increases in 2020.
Need to Build a Compensation Strategy? We help you lead the right people the right way with the right rewards. Compensation isn’t just about an employee’s pay, but other things that keep them motivated and balanced in their job. Contact me to build a compensation strategy that rewards and builds engaged employees while growing your bottom line.