Salary increase for HR professionals

dchr9203

Just curious. I have an HR Generlist who is a driect report to me. No management responsibilities, makes well within the range for our market annually. Earned PHR end of last year, was given a significant bonus; just prior to that received another bonus for outstanding performance. Annual increase came in at 4%; she's now "disatisfied", etc; perceives that 4% is "average"; in my opinion it is not. What has been your average % increase for HR generalists for 2004 in your areas? Thanks!

KittyV

4% is right on. Our average overall merit budget was 3.5. I granted increases of 4% for HR administrators.

pork1

DCHR9203: We have given 3% increases as a department average for the last three years. Which means the department decides the level of increase based on performance and all employees in the department are considered and awarded based on performance. Thus one employee may get a 6% increase for outstanding performance, whereas an average performing employee would get no increase. My assistant a generalist with no management responsibilities is paid at $12.00 and will probably receive a raise to $12.75 per hour in January a 6% increase. A 4% would give her a 50 cent raise and I might do that if the budget will not allow for a 75 cent increase and then look at the mid year for the remaining 25 cents.

My thoughts only!

PORK

KathiHR

We give raises of 0-5%, 2-3 is average, 4-5 is above average, & 6 is reserved for outstanding performance/special situations such as additional responsibilities, etc. But it really doesn't matter what our averages are - what matters is what your company's averages are. If she's in a position to see pay increases, then she knows what 4% means at your company. Is her complaint based on a perception of internal inequity?

dchr9203

Partly. We're a federal contractor and we get lots of increases passing through direct contracts. On an average, they are significantly higher than 4%. As we all know, HR is indirect and costs are managed a little more closely. As an average for the administrative group (HR, accounting & contracts), 4% is the budgeted and is pretty consistently followed. That's why we try to make up the difference through spot awards and bonuses. So her average overall increase, including bonuses, was 6.5%. I think there's more to her issues, but she's unwilling to quantify what she thinks would be considered a fair increase, so I'm just double-checking for my own benefit to be better prepared to discuss it the next time it comes up.

KathiHR

We're a for-profit corporation, in human services & get money from state/federal sources. But we keep all employees on the same ranges as far as pay & raises, regardless of the contract they're on. In otherwords, they don't get bigger pay raises just because they're on more lucrative contracts, particularly because they have nothing to do with negotiated rates. And we don't penalize the administrative departments for being an indirect cost - administrative costs are included as a % expense (G&A) of every contract. So the more lucrative the contract, the more money available to G&A. Maybe you need to re-evaluate your system if pay raises are tied to direct contract rates instead of performance. At any rate, 6.5% seems like a significant increase -time for a frank talk about what the other issues might be.

Dutch2

Here in mid-Missouri, this year we gave 2.5% for someone meeting the requirements of the job. Previous two years we were at 3%. I understand this coming year we have budgeted 3% again.
Good luck,
Dutch2

LeeR

Here in Mississippi we have been giving no more than 3% for the last 3 years.