Why could you be getting a bigger raise in 2022?
You have probably seen the headlines that the labor market is tight with employers struggling to find and keep workers.
So many people have quit their jobs during the pandemic, the trend even has its own name — the great resignation.
Now it looks like some businesses are prepared to pay up to keep the workers they have.
A new survey of over a thousand U.S. companies found that nearly one in three plan to bump up salary increase projections.
Back in June, companies said they planned to boost salaries around 3% on average. Now that average has increased to 3.4%, and that is for employees at all levels, from executives to manual laborers.
The biggest increases are expected in retail, energy and industrial manufacturing.
Experts say this shows companies are more concerned about the labor shortage than rising inflation.
There may be a good reason for that concern. A report from Credit Karma found that 45% of Americans plan to look for a new job in 2022. The number one reason given by respondents -- they weren’t getting paid enough at their current job.
But it wasn’t just a big salary boost people are looking for. They also said better benefits played a role as well.