Employers don’t plan to boost pay raises despite the tight labor market

Published 3 Min Read

Employees shouldn’t get their hopes up for a big salary boost in 2020. Despite low unemployment and a tight labor market, U.S. employers plan to hold the line on budgeted pay raises next year.

Most companies will offer a 3% increase, which is where raises have hovered for the past decade, a new report by global advisory, broking and solutions company Willis Towers Watson finds. Instead of pay raises, companies are relying on discretionary bonuses, performance and other incentives to recognize and reward top performers.

Evelina Nedlund
Associate editor

Evelina Nedlund is an associate editor of Employee Benefit News and Employee Benefit Adviser. She can be contacted via email at evelina.nedlund@arizent.com.


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