UK business leaders expect to give a pay rise to just one in four employees, according to new research.
Data from recruitment specialist Robert Half UK has revealed 26 per cent of business leaders are set to implement a pay increase. One in 10 (11 per cent) won’t be considered for an increase, while the remaining two-thirds (63 per cent) face an uncertain future when it comes to their salary prospects.
Financial pressures are cited by more than half (56 per cent) as the reason behind stagnant wages. This echoes gloomy growth projections for the UK economy with many (44 per cent) also claiming they believe they already pay their employees a fair wage that is in line with current market rates.
Managing director at Robert Half UK, Matt Weston believes salary can be a key contributing factor in someone looking for a new job, but is not always top priority.
“Opportunities to learn, feel valued, and gain additional responsibilities are all factors employees’ consider when deciding their next career move. The lesson here for business leaders is to ensure that current staff are offered these opportunities, or they will look for greener pastures - often with competitors," he said.
“If unable to provide a raise, business leaders should sit down with their employees to discuss alternative ways to reward performance. Some common options include additional annual leave, flexible benefits or a performance-based bonus.”
