Wednesday, November 30, 2005

Don't bank on big raise next year

The Seattle Times reports:
For the second year in a row, wage and salary increases will average 3.5 percent in 2006, several compensation experts predict.

The good news is that the average paycheck — in theory — should keep up with inflation, which is expected to be about 3 percent next year.

The bad news is that most employees will get less than 3.5 percent. That average is driven up by very high raises expected in a few fields with acute staff shortages, including nursing and financial services.

"If you're not in a high-demand position or covered by a union agreement, maybe you'll get 1 percent or 2 percent, if anything at all," said John Putzier, president of FirStep, a Pittsburgh area human-resources firm. "It's going to be spotty."