My raise, drum roll please.....

[laurence]

So after all the rave reviews, attaboys, etc. I got my actual Merit increase slip today. To put in context, the pool (average) was right around 3%. My raise?


4.57%

So I guess I have to acknowledge I was officially recognized for being above average, but only just. Yay megacorp.

I was also told to sit tight and good things were going to happen, hmph. I ain't mad, though, I know I'm trading good bennies for less income growth.

 

[cube_rat]

4.5% is pretty good in the mega corp world. Keep your eye on the prize...

 

[Fireup2020]

Congrats! (?)

 

[laurence]

I am of two minds, one I'm happy because I know it's official a "good" raise, but the cash value does not equate to the difference I was hoping for. I am happy that I'm seen in a positive light. Beats the heck out of being laid off!

 

[eridanus]

I was also told to sit tight and good things were going to happen, hmph.

Repeat ad nauseam...

 

[Texas Proud]

Hmmmm... my megacorp raise...

I was told 3%... but when you calculated it... only 2.5%. I guess you round up to make it look better...

The 'high' paid people got the 2.5, the low the real 3%...

 

[tryan]

good work ... and inflation only ate half.

 

[runchman]

You could be in my megacorp which recently got bought out by another mega-corp. This year our raises will be "Calculated as if we were giving them out" and then they'll decide if we are getting anything based on the Q1 performance. So I suspect mine will be a whopping 0%.

This is the same mega-corp that, after buying us back in July, still haven't told us (engineers) what our pay grades are, because, quote, "It just turned out to be FAR more complicated than we imagined".

Luckily though they took away our stock options and have no stock purchase plan. And they wonder why there is now an attrition problem

- John

 

[laurence]

That's really weak. I was with a company that decided it's raises based on subdivision performance. Problem was, they decided our unit would be a loss leader to establish relationships with customers, then let others make the actual money. I got 0.0% twice from them and a month after the second slip I was with my current company. They cancelled our Christmas party for cost cutting, but still sponsered a team in Tour De France!

 

[jazz4cash]

In the megacorp world, 4.57 merit is pretty decent. To HR it looks more like 4.57/3.0=152%

The thing to keep in mind is that it is for the rest of your career and has similar positive impact on many of your bennies.....life insurance, 401k match, etc. Small raises add up over the years.......drip,drip,drip.

The bit that gets me is how the managers try to make it sound like a huge windfall. My division has top tier results, but we are limited by megacorp's overall results.

Anyway..............Congrats!

 

[Mwsinron]

Good raise covers inflation and you get some extra. Congratulations

 

[Nords]

I was also told to sit tight and good things were going to happen, hmph. I ain't mad, though, I know I'm trading good bennies for less income growth.

And so far what seems to be the prospect of steady employment!

When do they open their Hilo branch?

 

[laurence]

For real! I was offered my job at the Honolulu office, they said they'd make it so the moment I wanted it. Problem was, they would pay me 15 grand less than I'm making now, and I'd lose overtime, so really a 20-25k loss moving to a more expensive locale. Where this really makes a difference is if I get that manager position at the end of the year. HR gets all snippy if an employee gets more than a 10% raise due to a promotion. This helps make that 10% look a little more attractive.

 

[clifp]

When my asset exceed $1 million, I had an epiphany. The difference between busting my butt for a 6% vs 4% raise was worth roughly $2K a year. Figuring out how to lower expense and/or raise returns by .5% was worth $5K. I better be damn sure I was spending at least as much overtime on assets as my job.

 

[SteveR]

3-3.5% has been the "norm" around here for several years. 4-4.5% would be considered only for "Outstanding" Performance Eval. scores.

Our merit pay system uses performance scores as the primary starting point in the calculation.

Then, you determine where in the salary range a person is for their grade...if too high they get 0% even if they walk on water. The higher in their paygrade scale the less they get on a sliding scale you have to calculate.

For employees who were not on the payroll as of 9/30 of the previous year... they get a prorated percentage of their increase.

Then, there is an "adjustment" that can be made with approval by a VP.

Oh, to reward one really outstanding person requires taking away from another person even if they are doing a good job. There is only a specific amount in the department budgets for merit increases and you cannot go over...period. That means the guy who is doing his job day in and day out and is meeting job expectations will get hit in the shorts on his raise if there is any other employee in the department who is rated high enough to get a bump above the stated 3% "average" raise. The total budget by department is based on all employees being "average". If you have only a few employees in a department the effect is even worse.

Gotta love Mega Corp.

 

[cube_rat]

You could do what I did recently. I left mega corp and went back for 10% more money without a sqeek or a bat of an eyelash. I would've never seen that kind of increase during the last review cycle without a big hoo haa from above.

I will say I didn't leave mega corp with the intention of coming back for more money. It just worked out that way.

 

[HFWR]

I am of two minds, one I'm happy because I know it's official a "good" raise, but the cash value does not equate to the difference I was hoping for. I am happy that I'm seen in a positive light. Beats the heck out of being laid off!

I got the best raise in several years (~3%, woo-hoo...), AND got laid off (well, in Sept.).

 

[laurence]

When my asset exceed $1 million, I had an epiphany. The difference between busting my butt for a 6% vs 4% raise was worth roughly $2K a year. Figuring out how to lower expense and/or raise returns by .5% was worth $5K. I better be damn sure I was spending at least as much overtime on assets as my job.

Excellent point. My portfolio's return last year was nearly 4 times what this raise is, I believe.

 

[Outtahere]

Congrats, you're right about it adding up in other bennies along the way.

 

[golfnut]

4.6%. Budget was 3.5%

 

[Buckeye]

My 3.5% raise wasn't fantastic but you gotta smile at the 9% profit sharing on top of year end bonus and the 401(k) match.

 

[bssc]

Just remember that 4.57 will be compounded all the years that you remain there.

 

[LOL!]

And you upped your 401(k) contribution by 4.57%, right?

 

[califdreamer]

Found out today 3%. Company had record year in '06 so bonus on top of regular profit-sharing bonus. Still, in the scheme of things, not a big deal.

 

[laurence]

And you upped your 401(k) contribution by 4.57%, right?

Well, if you mean my 10% has increased due to the raise, absolutely! But DW felt we are better served not upping my contribution to 11 or 12% since there would be no matching above this point and we are unsure of her employement future.