Workplace 101: Tory Johnson's Tips for How to Ask for A Raise
Know your worth and don't threaten to quit if you don't get a raise.
Jan. 18, 2011 — -- Will you see an increase in your paycheck this year? There's a good chance, but don't go spending big bucks so quickly. In 2011, employees can expect median base increases of 2.8 percent, according to Hay Group and Buck Consultants. It's better than last year's 2.4 percent, but far from the pre-recession raises of the last decade that averaged 3.5 to percent.
For starters, unless it's in your contract, a raise isn't guaranteed.
Erin Edwards, owner of The Vintage Pearl, a boutique store and e-commerce jewelry business based in Tulsa, Okla., with about 30 employees, says she pays a very fair wage and there's often a cap on what some positions are worth.
Determine your eligibility. No matter how fabulous you are, many roles are only worth so much to an employer. Start by doing your research using online salary calculators such as PayScale.com and Salary.com to get a sense of the realistic range for your particular position. Ask your boss or the HR department for the range allotted for your role and where you currently fall on that spectrum. If you're already at the very top, you'll either have to go for a promotion to higher paying role, or you'll have to look elsewhere for a new job.
Focus on performance -- yours and your employers. Depending on your organization, raises may be based on your performance, the employer's performance or both.
At food services giant Sodexo, Arie Ball, the VP of talent acquisition, says employees are ranked by immediate managers on individual performance, which determines the eligibility and amount of a raise, if any.
On the flip side, Dr. Timothy Johnston of the Norge Dental Center in Williamsburg, Va., says his practice will grow 10 percent this year and he anticipates average raises as a result. If an employee expects greater than average, he or she must prove a contribution to the firm's bottom line.