10 Tips For Managing Salary Expectations

A recent Glassdoor survey revealed that more employees are expected to quit in the coming year, citing salary as the main reason why. To get ahead of the turnover, Glassdoor offers 10 tips you can use to help manage your employees' salary expectations.

Determine Your Approach It's up to you to develop an approach for salary transparency that reflects your organization's values as a business, your commitment to your employees, and your desirability to candidates. How you handle offers, promotions, yearly increases, bonuses, equity, and benefits affects perceptions about your company and contributes to employee satisfaction. Don't Shy Away From Talking About Compensation Reinforce that you embrace transparency and encouraging direct conversations about pay and overall compensation can help drive differentiation for your employer brand, and attract and retain top talent. Be Consistent A deliberate, structured approach to compensation reflects your company's place in the employment market. Defining 1) a company philosophy of compensation and 2) your approach to individual compensation will allow you to communicate a consistent message to candidates and employees. This consistency helps to eliminate confusion and can minimize emotional reactions to pay decisions. Set Your Budget Some companies choose to set an annual company-wide budget for promotions and/or raises. Others give managers a budget to distribute to their staff for all increases including promotions, market adjustments, and merit adjustments. Consider how you will include employee raises and bonuses in your annual company budget. Frame Discussion to Focus on Total Rewards Package Total compensation is more than just base salary. To help manage discussions with employees who have questions about pay, frame discussions in context with your company's total rewards and compensation strategy. Be sure to reinforce this early, regularly, and openly. If...