7 Types of Raises for Employees (And Reasons To Give Raises)

The pay you receive as an employee is one of the most essential ways your employer can recognize you for your hard work and encourage you to remain with the company. Learning about the different kinds of raises an employee can receive may help you determine what's appropriate for you and your work … See more

5%
OFF

Bonus Vs. Raise: What’s The Best Way To Reward Employees?

2 weeks from now

For example, giving an employee a 5% increase three years in a row represents an increase of 15.76% on their initial salary. There are many different ways that raises can be structured. For …

figures.hr

2%
OFF

How To Make Your Federal Pay Raise Work For You ... - Investopedia

2 weeks from now

22 hours ago · If you're a federal employee, the recent announcement of an average 2% pay raise for 2025 may not seem like winning the lottery. But it's worth investing those funds in a way …

investopedia.com

FAQs about 7 Types of Raises for Employees (And Reasons To Give Raises) Coupon?

Why do employees get a raise?

Employers may decide to give their employees for a variety of reasons. Some common causes of someone receiving a raise include: Added value: Employees may create and add value to companies in a variety of ways, such as gaining a new professional credential or accepting new responsibilities. ...

What are the different types of raises?

Here are seven types of raises: 1. Cost-of-living adjustment A cost-of-living adjustment (COLA) is an annual or biannual increase that accounts for inflation rates. These increases are often small, but they help people keep the same buying power they had with their previous salary. ...

Should employees ask for a raise?

"If employees have the confidence to ask for the raise and the foresight to explain exactly how they will grow their skills to deserve the increase, I usually give it to them right there. In the most recent example of this happening, the employee asked for a raise far above his title. ...

What is a raise & how does it work?

A raise is an increase in hourly pay or salary that an employee receives for work performed. Learn how companies determine how they are received. ...

What is an example of a pay raise?

For example, an employee may receive a pay raise each year on their work anniversary. Performance-Based Pay Raises: These pay raises are based on an employee’s individual performance, such as meeting or exceeding goals or demonstrating exceptional skills. These pay raises may be tied to performance reviews or other forms of evaluation. ...

Are raises on the rise?

Nationally, raises are on the rise. This is a good benchmark to keep in mind as you seek to retain great employees, recruit new ones, and stay competitive in your market. A recent survey from Salary.com found that this year, a median raise of 4% across all employee categories has become the norm, replacing the long predominant 3% raise. ...