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People Who Work for You Paying Your Employees Deciding What to Pay Your Employees Giving Employees Raises
People Who Work for You Paying Your Employees Deciding What to Pay Your Employees Giving Employees Raises
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PrintGiving Employees Raises
Besides deciding how much to pay new hires, the other major concern of employers related to paying employees is how much of a raise to give an existing employee. There are as many ways of determining this information as there are people determining it.
There are two basic approaches to giving raises:
- give everybody the same percentage or dollar amount raise
- give employees different raises based on:
- equity between base wages
- performance, also known as a merit system
