KARAPATAN BA nang employee ang YEARLY salary increase?
NO.
Even Minimum Wage earners do not get annual increases.
Actually, it is only the maids who get semi-annual or annual increases. Lol.
IMO, if you are the type of employee that must depend on annual salary increases to move up in this world -- the more the business owners/company will see you as one not deserving salary increases.
BUT if you get into a company that actually automatically grants annual salary increases, good for you. But, is that enough for you?
The basic salary is only 1 component of an employees' total compensation.
It is easier to contemplate giving salary increases to employees who deserve/partake of performance bonuses. If an employees does not stand out -- he/she may be seen as easily replaceable.
We usually give employees increases after they gain job proficiency or skills upgrade, and thus qualify for a higher position. You will not get a salary increase by staying in the same job year after year. (Loyalty's compensation is in the company bonuses.). On the average, a 30-50 percent increase every 3 years -- if promoted to a higher position.
When we hire, we give top industry salaries -- to attract the best/better performers. So, your resume up to that point is appreciated in peso terms. Now, to get more appreciation -- you gotta add to your resume, logically. That is what separates the upwardly mobile from those just running to keep abreast. San ka pupwesto??
Most businesses will not outright say there are no annual increases. We say outright wala, but our company pays all legally-mandated benefits correctly, and have other monetary perks. We say there is a lot of room for upward mobility, since we are not a govt institution nor bank where somebody must drop dead first for others to move up.
We believe the lack of annual increases is to discourage mediocrity & the feeling of employee entitlement.
So there, an employee should not just look at the salary & pattern of increases -- unless you are content to just go through life "coping".
Can we afford? Baka nga naman a company doesn't give annual increases kasi "can't afford". Sure
We can afford, but we don't.
Our company is in the top 10thou BIR list. (If more companies didn't doctor their taxes -- sa top 100,000 companies lang kami. Haha. We paid 2-digit million pesos in taxes last month -- I got sick for a week. ). We have at anytime, 3-digit employees. 5percent only approx are Minimum Wage. Hubby & I are OCD hands on, we live our businesses daily. Even just a janitor doing a good job -- we notice. Sure, we have a complete HR dept & systems, all that for IOS certification. But what the heck.
We believe it is more fair to reward superior performance through profit-sharing & bonuses, than to reward all across-the-board.
Continuing employment is enough for the mediocre, with all the legally-mandated and whatever company benefits.
Please do not take the above personally, it is just what it is.
Each one of us owes it to ourselves to max our potential. IMO, fostering a feeling of entitlement does not encourage one to strive.
