Odds of a Pay Raise Are Growing: 58 Percent of Companies Plan Them

By Jeff Clabaugh | WTOP |

With companies struggling to fill their job openings, more are making moves to retain the workers they have and attract the new ones they want.

A CareerBuilder survey of HR and hiring managers found 58 percent of employers will increase compensation for their current employees before the end of the year, and 24 percent are planning an increase of 5 percent or more on average.

Another 45 percent say they plan to increase starting salaries on new job offers, with 23 percent say they’ll boost starting salaries by 5 percent or more.

And it is not just for high-skill positions. The CareerBuilder survey found 71 percent of hiring managers believe they have to pay entry-level workers more money because of tight talent pools.

“Low unemployment and increasing skills gaps continue to plague employers who are struggling to fill roles at all levels within their organizations,” said Matt Ferguson, CEO of CareerBuilder.

“Fifty percent of U.S. employers reported that it is taking them longer to fill jobs today compared to any other period of time — a trend that is ultimately giving job-seekers more leverage.”

With 6 million job openings across the country, according to the Labor Department, 63 percent of employers surveyed plan to hire full-time permanent workers in the second half of 2018.

Read more at WTOP.