Salary boost. How do you feel?

[Stratego]

How would you feel if your company changed its policy that effectively gives you and some of those in your department a boost in salary? I'd use the IT support department for my example, but you can apply it to any department.

Let's pretend you are into the third year of working with the company's IT department. The company's HR guideline for the past three years would be to offer $45,000 annual salary for incoming IT support technicians, and that's what you and your co-workers got. You've been performing above average, and as a result have received a 5% annual increase instead of the standard 3%, which brings your current salary to ~$49,600 per year.

However, the company changed its guidelines this year to offer $50,000 for incoming IT support technicians and anyone making below that amount would receive an IMMEDIATE raise to that amount. How would you feel about this decision? On one hand, your salary would be around $400 per year more than you previous thought. But on the other hand, the work you've put in to gain that 5% raise each year is effectively negated since those who didn't perform as well will now get the same amount as you. Do you feel happier or less happy after hearing this new?

Would your feelings be different if the guideline was to set the new salary to $49,000 so your salary won't be affected? If it is different, would it be for the better or for the worse? What about for a new guideline of $55,000?

[Dylan]

If you bump starting you should really bump people who came in previously the same percentage.

I would be annoyed and would ask for a raise but if turned down I would move on with my life.

[Philly]

I'd ask for more money but the worst thing one can do, both from a professional and a personal standpoint, is get on a warpath about salary based on what someone else makes. Your salary discussion with your boss should always be about what you're worth, not what your colleague(s) get.

People I've known in the past who planned to walk into salary discussion with the boss about "well so and so makes X so I should be making Y" always walk out of the meeting with a terrible glazed over "thank god I at least didn't just get myself fired" look in their faces afterward.

[Stratego]

[Philly]

[John Galt]

that happened to me my first year at my company. not only was it just for incoming people, they were revising standards so that the lowest amount paid to anyone in the company was higher than the amount i was being paid, so i got a raise from 14.50 an hour to 15.00. this was back when i was a scrivener. this was within a few months of behind hired though so i really didn't care

[Philly]

Galt is an old. 15 an hour was probably a lot of money back then. Well done Galt.

[Saz]

You should make it clear from the beginning that you expect 5000 base + 5% annual increase. If you aren't in a position to make that demand, then just stop doing extra work, assuming you were doing it for the money.

[broken robot]

[Darkhorse]

Everyone was paid the same. I was not compensated for any of my productivity in excess of the least productive employee's productivity.

There is more to a good employee reward system than just money. Employees want to feel that their employer appreciates the extra work they do. They want to look over at Cheeto Finger Charlie browsing cartoon porn and know that they're making more than him. Good employee reward systems are an investment. You structure rewards in such a way that employees work their hardest and they'll more than earn their bonus.