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Study: Pay raises more likely in 2012

Posted on December 9th, 2011 Read time: 1 minutes

A recent survey from global market research firm ORC International revealed that more organizations are considering pay raises and awarding bonuses than they were last year.

HR Reflections polled nearly 800 U.S. public and private sector human resource professionals, internal communications consultants and employee engagement specialists, finding that 83 percent of respondents are considering pay raises by the end of the year – up from 66 percent in January.

Furthermore, 74 percent stated they plan to award bonuses "at the same or greater level" than last year, up from 50 percent in the previous study.

"Overall, it is encouraging that HR professionals are optimistic about the economy and seeing the light at the end of the recessionary tunnel," said Matt Rodden, research director at ORC. He added that he's still troubled about low engagement levels because now more than ever, talent needs to be retained.

The study also found that 56 percent of respondents said their company's performance is better than it was last year – a 37 point increase in optimism from January – while 63 percent are focused on growth above stability.

The De Soto Explorer reported that 420 Kansas University employees recently earned pay increases due to promotions and new job duties, as well as to keep people from being recruited to other positions and to address salary equity issues.  

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