Inflation is at the front of everyone’s minds, particularly workers whose pay has not kept up.
According to a report from Gallagher, two-thirds of U.S. employers bumped their compensation budgets this year. However, those who are switching jobs may be seeing bigger increases than those sticking around with their employer.
Still, inflation continues to outpace the cost of living, essentially making these wage increases moot. So how can employees address these problems and present realistic solutions?
The first step may be the scariest: ask for a raise.
Although this has a likelihood of being rejected, it’s critical for employees to communicate that inflation is weighing on them.
“When enough people have this conversation, it’s data that managers are going to bring to their compensation and finance teams,” said Madelyn Machado, a reverse recruiter.
“They’ll be able to say, ‘we’re having a lot of conversations about inflation. What are we going to do about it?’”
Another solution is to request more flexibility for work schedules, which can help alleviate the costs of gas and eating outside of the home. In fact, the Gallagher report shows that 61% of employers are using this tactic to offset increased inflation.
Machado emphasizes the importance of being creative during this economic turbulence. Other examples of business areas that can be adjusted to accommodate this shift include:
- Extending remote work arrangements
- Offering free meals
- Incorporating childcare services
- More paid time off
- Travel/commute reimbursement
“Even if you do all this, it doesn’t mean you’ll get the raise you’re looking for,” said Machado. “If that’s important to you, it’s time to get into the [job] market.”
