A tight labour market, add the predictions that many could resign from their jobs, plus COVID-related stress giving workers a new perspective on what really matters in life, have actually shifted the balance of power in the hands of employees, many HR experts have said that.
And according to HR expert Kathryn Bonning, she expects this year will largely be influenced by the ‘Great Resignation’ of people leaving their jobs in the wake of the pandemic in Australia and New Zealand, as experienced in other markets such as the US.
“People will want to be compensated for working above and beyond their already reasonable working hours. A pay increase will be a key priority for employees moving into 2022,” she added.
As per various reports, the average weekly wage for full-time adults in Australia now stands at $1,748.40. Wages have grown by 2.2 per cent in the past 12 months, but remain below inflation, which grew by 3 percent in the same period.
Bonning also predicts that the once glorified benefit of flexible work arrangements has now become the norm, meaning salaries will become a focal point again for many job seekers, particularly where flexibility has blurred the lines of home and office, and many employees will be wanting greater transparency about how salaries are benchmarked in their organisation.
Around 40 percent of workers intend to look for a new professional role, with many on the hunt right now.
However, 47 percent said a salary increase would encourage them to stay in their current position. Yet, many employers aren’t being proactive about pay hike conversations, and are experiencing waves of resignations as a result,
Best way to tackle this is to never use colleagues as comparisons to justify an increment. Instead, an employee can base the request around your own performance and achievements.
Giving employers an ultimatum on not getting a pay hike is a huge risk in today’s times, because more often than not, the company will accept your resignation and move on.