Australians' pay rise expectations inconsistent with employer sentiment
More than a third of Australian employees expect their salary to increase by more than six per cent, according to Hays Banking.
In a study conducted across the Asia-Pacific, 1142 Australians were asked how much they expected their pay to rise. The results showed that 32 per cent expected their pay to rise by less than 3 per cent, 33 per cent expected their pay to rise by between 3 and 6 per cent, while 35 per cent expected their pay to increase above 6 per cent.
The report also found that the most positive salary expectations existed in Hong Kong, where 45 per cent expected their pay to increase by over 6 per cent. This was followed by Singapore (41 per cent), Australia (35 per cent) and New Zealand (26 per cent).
According to the 2011 Hays Salary Guide, 44 per cent of Australian employers intend to increase employee pay by 3 to 6 per cent. Another 43 per cent intend to increase their employees' pay by less than 3 per cent, while only 6 per cent of employers will offer pay increases above 6 per cent.
Despite the discrepancy between employees' expectations compared to their employers', Hays director Nick Deligiannis said employers were not influenced by these expectations.
"Instead of offering widespread salary increases, many employers are choosing to review employee benefits to help them attract and retain staff," Deligiannis said.
"They're also quick to discuss potential career paths with their high achievers and offer training and development. Work/life balance improvements are also being used as alternatives to large salary increases."
Deligiannis suggests that employees should prepare for their next review by preparing a list of their current achievements and objectives in comparison to their original job description, and provide evidence for their expected pay rise by referring to a salary guide.
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