According to a new survey by Willis Towers Watson, US companies plan to give employees larger raises next year than this year. Companies surveyed projected average salary increases of 3.0% for executives, management and professional employees, and support staff in 2022. That’s up from the average 2.7% increases this year.
The average increase for production and manual labor employees next year is 2.8%, higher than the 2.5% average increase this year.
Willis Towers Watson noted salary increases hovered around 3.0% for the past decade until the pandemic caused companies to trim budgets. The larger raises coincide with a surge in demand for labor and a shortage of supply of hourly workers and specific professional roles.
“Companies are between a rock and a hard place when it comes to compensation planning,” said Catherine Hartmann, North America Rewards practice leader at Willis Towers Watson.
“On the one hand, employers need to continue effectively managing fixed costs as they rebound from the pandemic. On the other hand, companies recognize they need to boost compensation with sign-on, referral and retention bonuses; skill premiums; midyear adjustments; or pay raises,” Hartmann said. “Or they can utilize all of these options, especially with millions of Americans quitting their jobs, changing careers or postponing looking for employment.”
Among the major industry groups, high-tech and pharmaceutical companies project the largest increases at 3.1% next year followed by healthcare, media and financial services companies at 3.0%. On the other hand, oil and gas industry companies, as well as leisure and hospitality industry companies, are budgeting significantly lower salary increases for employees at 2.4%. Retail industry companies are projecting average raises of 2.9% next year.
The survey included 1,220 companies representing a cross-section of industries. It took place between April and June.
HIRING BONUSES MAY CONVINCE UNEMPLOYED TO GET BACK TO WORK: US CHAMBER OF COMMERCE
June 30, 2021
Hiring bonuses appear to be an effective way to get more of the unemployed back to work, according to a survey by the US Chamber of Commerce released on Tuesday. It found that 39% of unemployed Americans who lost their jobs during the pandemic and are not actively looking for work say that a $1,000 hiring bonus would increase their urgency to return to full-time employment. It was the most appealing solution for hesitant-to-return workers.
Disney is one of the companies offering $1,000 sign-on bonuses to some workers at its parks. https://www.businessinsider.com/disney-struggles-find-workers-offering-sign-on-bonuses-labour-market-2021-6
The poll included 506 Americans who lost their jobs during the pandemic and have not returned to full-time employment. It was conducted from May 17 to May 20.
Other incentives included work-from-home flexibility, picked by 32%, and worker vaccination requirements, picked by 23%.
The percentage who say hiring bonuses could attract them back to the job market was particularly high among unemployed workers age 25 to 34 (53%) and those with some college education but not a degree (49%).
The US Chamber of Commerce noted that 10 states have already announced return-to-work bonuses: Arizona, Colorado, Connecticut, Kentucky, Maine, Michigan, Montana, New Hampshire, Oklahoma and Virginia.
Separately, Indeed released data earlier this week that 4.1% of job postings in the week ended June 18 contained hiring incentives, up from 1.8% in the same week last year, Yahoo reported. “Job seekers are able to have a little wiggle room and be able to shop around a little bit more,” AnnElizabeth Konkel, an economist at Indeed Hiring Lab, told Yahoo Finance Live. “Employers are increasingly offering hiring incentives that can be anything from signing bonuses to retention bonuses to cash incentives.”
US MANUFACTURING UPTURN CONTINUES IN FEBRUARY; EMPLOYMENT SHOWS STEEPEST GAINS SINCE SEPTEMBER 2014. IHS Markit reported a continued upturn in the US manufacturing sector in February with the rate of production growth the fastest in six years.
See full article: https://www.markiteconomics.com/Public/Home/PressRelease/b4d5e55e7f574c398e58277005f3de2a
Jobless Claims Report – August 08, 2019 – By Reuters
The jobless claims report from the Labor Department was issued today. The number of Americans filing applications for unemployment benefits unexpectedly fell last week, suggesting the labor market remains strong. However, experts say this does not fully account for the impact of the recent escalation in the trade war between the United States and China.
Follow link for full report. https://www.nasdaq.com/article/us-weekly-jobless-claims-fall-labor-market-strong-20190808-00718
PRESS RELEASE: NEW EMPLOYEE
For Immediate Release
Contact: James Lynch, PhD (908) 534-8113
REGIONAL PERSONNEL SERVICES WELCOMES NEW RECRUITING SPECIALIST
Lebanon, N.J., June 28, 2017 — Regional Personnel Services, a privately-held, ASA-certified staffing and recruiting firm, today announced the addition of Betsy Rickenbrode as their new Recruiting Specialist.
Betsy joins Regional Personnel from Mallinckrodt Pharmaceuticals as Human Resource Specialist. Betsy began her HR career at Kullman Building Corporation as an HR Coordinator, then joined Obanta (a provider of behavioral psychological treatment programs for companies), and then as HR Analyst at Anadigics, Inc.
Dr. James Lynch, President of Regional Personnel, stated, “I am proud to welcome Betsy Rickenbrode as the Company’s Recruiting Specialist. Betsy’s extensive experience in various aspects of human resources, as well as, her expertise in cultivating and building relationships, personable and consultative nature, will be greatly appreciated and beneficial to Regional Personnel and to our Clients at this important time!”
As a key contributor to the future growth strategy for Regional Personnel, Betsy will be responsible for driving new business, client identification and selection, as well as, general management of the company.
During her HR career, Betsy was responsible for providing HR support in a variety of capacities, including recruiting, new hire orientation and training, developing and managing HR metrics for employment training, as well as, coordinating on-site training programs. Through her drive and innovative recruiting efforts, she was able to double the size of one former business.
“I am very excited to join Regional Personnel at this exciting time for the Company. I look forward to participating in the strategic expansion and growth of the Company,” commented Ms. Rickenbrode.
Betsy graduated from St. Louis University with her Bachelor of Science Degree in Human Resources Management.
About Regional Personnel Services
Established in 1997, Regional Personnel Services is a privately-held, ASA-certified staffing and recruiting firm specializing in matching corporate culture and talent. Our broad portfolio of clients from small businesses to Fortune 500 companies, across all industries including pharmaceutical, engineering, accounting, medical, legal and not-for-profit sectors. We offer temporary, temp-to-hire and direct hire staffing needs, and some of our most recent placements include: Interim President (Supply Company), Supply Chain/Logistics Specialists (Pharmaceutical Industry), Customer Service/Call Center Agents (Marketing Solutions Firm), Medical Scheduler Supervisor, and Office Administrators (various industries).
James F. Lynch PhD, MBA – Regional Personnel Services ©2017
Eighty-eight percent of employees are satisfied with their jobs, according to a 2015 survey of 600 part-time and full-time employees by the Society for Human Resource Management. That figure is higher than at any time since 2005. Ninety percent of Baby Boomers say they are satisfied with their job, followed by Generation X (88%), and Millennials (86%).
For the second year, the most important contributor to employee job satisfaction was “respectful treatment of all employees at all levels” (cited by 67 percent of respondents). Said Esen, “Employees consider culture and connection to be of utmost importance. Feeling appreciated for their time and efforts creates a bond between employees, management and their organization.
Full report: https://www.shrm.org/Research/SurveyFindings/Articles/Documents/2016-Employee-Job-Satisfaction-and-Engagement-Report.pdf
James F. Lynch PhD, MBA – Regional Personnel Services ©2016