Gulf between pay rise expectations

by 27 Oct 2011

A new survey has revealed that while 35% of employees expect their salary to rise by 6% or more in their next review, just 6% of employers intend on meeting that expectation.

The data was gathered from across the Asia-Pacific region by recruitment agency Hays in its 2011 Salary Guide, and the results highlighted the vast differences between expected pay outcomes for both employers and employees. 

Pay increase by %

Employee expectation

Employer expectation

3% or less



Between 3% and 6%



6% or more



Lisa Morris, regional director of Hays Human Resources, said the data reflects the concerning state of play, that employees clearly have higher expectations than their employers when it comes to their next pay rise.

Morris said that instead of offering widespread salary increases, many employers are choosing to review employee benefits to help them attract and retain staff.

“[Employers are] 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,” Morris added. 

Though given the very public and ongoing pay dispute between Qantas and its employees, many are calling for increased communication from employers in fully disclosing their plans for remuneration.

By having well communicated salary growth intentions from the employer to employee, there is less room for unwelcome surprises come review time.

Indeed management advisor Christopher Tipler, writing in Business Spectator on the plight of Qantas and its pay dispute, called for a greater transparency of intentions and ongoing honest conversations. 

“When we are transparent, reasonable, and honest the organisation can develop relationships based on trust. When trust is established, it is possible to have the courageous conversations that are so necessary to a vibrant, successful [workforce],” Tipler said.


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