Promotion, lower pay rise than expected

Promotion, lower pay rise than expected

Author
Discussion

MaybeSomeday

Original Poster:

2 posts

112 months

Friday 12th December 2014
quotequote all
I've been working for a company for 5 years and was recently promoted to a senior role (probably 30% of employees are at or above this level). This was 6 months ago, there was no mention of a pay rise at the time and I didn't bring it up as I knew pay reviews happen at the end of the year. Now pay review day has come, and the raise has left me a bit disappointed - I'm not sure if I should be.

The past few years and this one have all been good, mostly unaffected by the recession. I've had the same fixed pay rise amount every year since starting, which has been good given the economy, but obviously has become less percentage wise as the salary has gone up. 11%, 10.5%, 10% the past years. Now, after my promotion and great performance report, I've been given the same fixed amount again, making the raise just under 9%.

Now I realise the past years have been generous, but I had expected that the extra responsibilities and workload (no official extra hours, but probably doing 5-10% more hours a week) would have brought a higher raise. My work also is directly chargeable on a rate to customers - that rate has been higher since the promotion due to my seniority. Am I being reasonable, or have I been paid too well in the past and had my expectations inflated?

The pay review is actually done in employees' absence by the owner, and there are no grades or explanation given for the result, apparently not even to top level staff. We are just informed of the result, and there is no discussion, perhaps intentionally. The only avenue open for me to ask about the situation would be my manager, but I really don't want to risk being called in to see the owner and being confronted.

I enjoy my job and am not considering leaving. Perhaps the company knows this. And the company is up with the best around for pay and being a good place to work.

Should I just be thankful?

Dan_1981

17,388 posts

199 months

Friday 12th December 2014
quotequote all
An average pay rise of over 10% per year for four years without changing jobs and your disgruntled?

I must be doing something very wrong!

Richjam

318 posts

188 months

Friday 12th December 2014
quotequote all
Only on pistonheads be thankfull your not in the public sector you would have got a paycut.

mike9009

7,002 posts

243 months

Friday 12th December 2014
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Wow, that's some pretty good pay rises over the last few years considering the economic climate.

I think we have had about 1% in the last two years......

miroku

261 posts

153 months

Friday 12th December 2014
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Self employed and on the same takings as 8 years ago. All of our employees have had annual rises.
Welcome to planet reality!

Vee

3,096 posts

234 months

Friday 12th December 2014
quotequote all
Sounds like you have been promoted without getting the increase in pay.
I'd expect ANY organisation to have a new salary effective immediately on promotion. If the promotion came without and increase then I'd expect it to have been explained to the employee why not.
Your post sounds like you would have got the 9% even if you hadn't been promoted 5 months ago.

Did you get a new contract for your new role ?
Did anyone explain to you the changes, in terms of your responsibilities, line manager, etc ? Did you not ask about a pay increase to go with promotion ?


sidicks

25,218 posts

221 months

Friday 12th December 2014
quotequote all
Richjam said:
Only on pistonheads be thankfull your not in the public sector you would have got a paycut.
Which public sector workers had a genuine paycut??

worsy

5,804 posts

175 months

Friday 12th December 2014
quotequote all
MaybeSomeday said:
I've been working for a company for 5 years and was recently promoted to a senior role (probably 30% of employees are at or above this level). This was 6 months ago, there was no mention of a pay rise at the time and I didn't bring it up as I knew pay reviews happen at the end of the year. Now pay review day has come, and the raise has left me a bit disappointed - I'm not sure if I should be.

The past few years and this one have all been good, mostly unaffected by the recession. I've had the same fixed pay rise amount every year since starting, which has been good given the economy, but obviously has become less percentage wise as the salary has gone up. 11%, 10.5%, 10% the past years. Now, after my promotion and great performance report, I've been given the same fixed amount again, making the raise just under 9%.

Now I realise the past years have been generous, but I had expected that the extra responsibilities and workload (no official extra hours, but probably doing 5-10% more hours a week) would have brought a higher raise. My work also is directly chargeable on a rate to customers - that rate has been higher since the promotion due to my seniority. Am I being reasonable, or have I been paid too well in the past and had my expectations inflated?

The pay review is actually done in employees' absence by the owner, and there are no grades or explanation given for the result, apparently not even to top level staff. We are just informed of the result, and there is no discussion, perhaps intentionally. The only avenue open for me to ask about the situation would be my manager, but I really don't want to risk being called in to see the owner and being confronted.

I enjoy my job and am not considering leaving. Perhaps the company knows this. And the company is up with the best around for pay and being a good place to work.

Should I just be thankful?
By any chance could it be construed that your responsibility increased over the four years for which you were suitably rewarded rather than a big jump in role in the 4th year?

MaybeSomeday

Original Poster:

2 posts

112 months

Friday 12th December 2014
quotequote all
worsy said:
By any chance could it be construed that your responsibility increased over the four years for which you were suitably rewarded rather than a big jump in role in the 4th year?
Yep, pretty much. Have gone from trainee to here with many small jumps along the way, the biggest of which was this last one.

Vee said:
Sounds like you have been promoted without getting the increase in pay.
I'd expect ANY organisation to have a new salary effective immediately on promotion. If the promotion came without and increase then I'd expect it to have been explained to the employee why not.
Your post sounds like you would have got the 9% even if you hadn't been promoted 5 months ago.

Did you get a new contract for your new role ?
Did anyone explain to you the changes, in terms of your responsibilities, line manager, etc ? Did you not ask about a pay increase to go with promotion ?
Yes I think I'd have got the raise anyway. No new contract, I just started doing the role I'd learnt from working for a previous senior. As mentioned, I didn't ask due to knowing that reviews happen at year end.



In summary I think I should be happy, and I am happy. Before bouncing things off you folk, I wasn't sure what to think as I saw my salary as being fair but saw the raise as a disappointment due to being exactly the same as previous years/role. My role changed gradually, and my salary did too. The salary possibly increased faster than my role last year, so that's offset by having the same raise this year despite the promotion.

98elise

26,556 posts

161 months

Saturday 13th December 2014
quotequote all
How does your pay compare to your peers? Does the promotion come with any more responsibility, or is it a seniority? For example you can have many grades of the same role (junior to senior) and often these don't come with a step change in pay as the role is essentially the same.

If the role was different, say team member to supervisor or manager, then you would expect a pay rise.

conanius

743 posts

198 months

Saturday 13th December 2014
quotequote all
You don't say what the 10% pay rises over the years are on a base of. 10% of very little isn't very much. However, regardless of the base salary these rises are paid to, 10% pay rises over the last few years is pretty incredible really. I don't know anyone who is managing to average that without jumping around jobs and taking huge steps up in their career.

I'd probably be of the view you should have commented at the point of promotion. You can try questioning it now, but just remember you're doing really well with what you are getting !!

mikerons88

239 posts

113 months

Saturday 13th December 2014
quotequote all
conanius said:
You don't say what the 10% pay rises over the years are on a base of. 10% of very little isn't very much. However, regardless of the base salary these rises are paid to, 10% pay rises over the last few years is pretty incredible really. I don't know anyone who is managing to average that without jumping around jobs and taking huge steps up in their career.

I'd probably be of the view you should have commented at the point of promotion. You can try questioning it now, but just remember you're doing really well with what you are getting !!
Quite normal in a lot of oil and gas companies.

Certainly above 7% for high performers.

conanius

743 posts

198 months

Saturday 13th December 2014
quotequote all
mikerons88 said:
Quite normal in a lot of oil and gas companies.

Certainly above 7% for high performers.
So the absolute top performers, in 1 industry.... so like nearly everyone has said, quite rare then.

iphonedyou

9,249 posts

157 months

Saturday 13th December 2014
quotequote all
conanius said:
So the absolute top performers, in 1 industry.... so like nearly everyone has said, quite rare then.
rofl

Quite.

S10GTA

12,678 posts

167 months

Saturday 13th December 2014
quotequote all
What is a pay rise? wink

bogie

16,382 posts

272 months

Saturday 13th December 2014
quotequote all
many large companies have pay bands that overlap. When you get promoted you are often in the band for the next job up anyway, so theres no immediate rise. In future years your rises can continue though without getting less because you are overpaid for your grade (if you have been same grade for too long)

thats how it works in a few big companies ive worked for. Pay rise is not always tied to promotion. You could be promoted after staff review in Feb and the yearly pay review is in June

Then the pay increase varies each year based on employee performance compared to job grade and the amount in the salary budget pot for increase.

Why not ask your manager to explain how its all worked out? its all pretty transparent in most large organisations...it has to be really. If you are a 10,000 person company you have to have some kind of a system...

mikerons88

239 posts

113 months

Saturday 13th December 2014
quotequote all
conanius said:
So the absolute top performers, in 1 industry.... so like nearly everyone has said, quite rare then.
Nope, absolute top performers get much larger rises.

mikerons88

239 posts

113 months

Saturday 13th December 2014
quotequote all
iphonedyou said:
rofl

Quite.
No, not quite. I did not insinuate top few %!

Pit Pony

8,546 posts

121 months

Saturday 13th December 2014
quotequote all
You worth more ? Ask for what you want and justify to them why you want and be prepared to feck off to someone who will actually pay you what you think you are worth.

oldcynic

2,166 posts

161 months

Sunday 14th December 2014
quotequote all
Work out what you'd probably get paid in the same role at another company, and if you're lagging noticeably behind that figure then make a big deal of it; otherwise consider politely asking about more money. Your employer will have a pretty good idea of what it would cost to replace you.

Any company paying a 10% rise annually would get my attention, unless the starting salary was way below market rates.