WALTHAM, Mass. – Faced with a persistently competitive labor market, 52% of the organizations in a survey of pay practices and compensation strategies are boosting funding for merit increases, according to Salary.com’s Annual Pay Practices and Compensation Strategy Survey.
That figure represented a significant jump from 19% of organizations that earmarked extra dollars for merit increases in 2020, Salary.com announced.
The survey also reported a bump in bonus funding. Thirty-nine percent of organizations are increasing funding for bonuses and short-term incentives, compared to 29% in the last survey.
The survey compiled responses from 881 participants who received electronic survey invitations in September 2021. Data was collected via an online survey management tool, and the survey closed Oct. 20, 2021.
The report represented 21 industries and multiple ownership types, including public, private, joint venture, nonprofit and government organizations.