A survey of HR professionals carried out by Incomes Data found that over half are intending to award staff the same level of pay in 2012 as they did in 2011, while almost a third indicated that they will increase salary for staff.
Only 13 per cent reported that they would make a lower award in 2012, with workers in the manufacturing industry set to receive the most substantial increase, on average.
Ken Mulkearn, editor of the IDS Pay Report, which collects and analyses the data for IDSPay.co.uk, said that at a time when the economic backdrop is challenging, ways of using reward to stimulate employees will gain in importance.
"While some firms may be able to award increases in line with inflation, most will have to be inventive in designing reward packages that achieve the aim of recruiting, retaining and motivating staff," he added.
A Chartered Institute of Personnel and Development poll of 2,000 workers found that 54 per cent of staff say that their main reason for wanting to change jobs is to boost their salary and benefits, with just 42 per cent wanting to improving job satisfaction.
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Posted by John Oak and Wayne Bly
Source: The Sales Director News
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