While I don't have any employees, I'd assume what's fair is (assuming the cash flow to allow it) annual raises held to CPI, then add or subtract based on merit.
----- Mike Hammett Intelligent Computing Solutions http://www.ics-il.com ----- Original Message ----- From: "That One Guy via Af" <[email protected]> To: [email protected] Sent: Thursday, October 2, 2014 9:49:20 PM Subject: [AFMUG] valuing a pay increase im curious from the small business owner, which I assume most of you owners on the list consider yourselves, how do you value a pay increase? (assume its an employee that is worth their salt) Do you try to just keep it where the employee has the same spending power, ie just cost of living to match inflation, percentage based, profit based, set value? In discussions with the boss about future he mentioned a number, for shits and giggles I compared what my last raise is worth today. I havent had a raise in 2.5 years, and based on the government calculators what I make now was worth 80 cents more 2.5 years ago than it is now. The number he said was a dollar, which under normal curcumstances to po folk like me isnt a small raise. but when I looked at the numbers, that dollar only puts me 20 cents up on where I was 2.5 years ago, that 8 cents a year in increased purchasing power. That kind of boils down to an insult. Or is that the wrong way to look at the value of the potential pay increase? I have never believed in asking an employer for a raise, my thoughts have always been that an employer thats a good employer will pay you what they think your worth to them, apparently im worth 8 cents -- All parts should go together without forcing. You must remember that the parts you are reassembling were disassembled by you. Therefore, if you can't get them together again, there must be a reason. By all means, do not use a hammer. -- IBM maintenance manual, 1925
