How to get a Raise in a Bad Economy
When faced with an economic downturn, few employers will be considering granting generous pay raises to their workforce. Very often, larger companies restrict increases to very low amounts, or put a complete pay freeze in place.
This can cause problems for individuals who find themselves in the position where they feel entitled to a larger pay increase. Indeed, in some cases, employees that are promoted are faced with having to campaign quite actively to get an increase in salary, which they would normally be entitled to automatically. Getting a pay raise in a bad economy isn't impossible, however, particularly if you consider a number of key areas.
Choose your timing carefully
There will always be a right time and place to broach matters of this nature. Ensure that you arrange a formal discussion with your manager or HR lead (as appropriate) at a time and in a location that works for them. Don't pick a time when they are particularly busy, for example. Good timing would always be after you have successfully completed a project or achieved something outstanding. In the middle of a crisis, or when you have just made a mistake would both qualify as bad times!
Focus on the quality of your work
You may need to undergo a concerted effort for a period of time to ensure that you are the model employee. Proactively pick up new tasks and assignments. Make a real effort to work with all the members of your team and help them with any issues that they may have. Take on additional responsibility. Come up with new ideas and suggestions. You will need to polish your personal brand so that when you ask the question of your employer, the right image resonates throughout the conversation.
Do your research
Find out what the market rate is for the role that you carry out. If you can identify that you are paid well below the market average for your skills, then you can present a compelling case to your employer for a salary increase. While the economy may encourage restraint, your employer still needs to retain good people to carry out the critical roles in the business, and if you are paid well below the market rate, then your employer will realise that there is a high risk that you will leave. In the long run, this would cost more money than a promotion, purely through the costs of recruiting and training a replacement.
Identify where you can add more value
Even if your argument for a pay raise is that you are already underpaid and overworked, you may need to present your employer with a case for more pay on the basis that you can do more. You may be able to take on additional responsibilities, or undertake project work that can show measurable improvement in the work that your team completes. You may be able to suggest that you can train and coach others, or that you can work with other teams to improve overall efficiency. Realistically, in a commercial environment, you are going to have to present a strong case to earn more money.
Be willing to compromise
Your employer may be able to offer you other, additional benefits that may not increase your salary, but may still be of great value to you. The opportunity to work from home or to work condensed hours, for example, may shift your work/life balance in an appealing way. You may be offered a different role, which represents a great new opportunity. You may be offered shares or discounted product benefits that are worth a substantial amount of money in real terms. Make sure you consider any offers that are made carefully.
Don't assume that because you are in an economic downturn you will automatically be unable to secure a pay raise. Even during economic hardship, businesses need to retain the right people, and pay them the right rates. What you need to do is ensure that person is you.
