JACKSONVILLE, Fla.--(BUSINESS WIRE)--As the effects of the recession continue to plague the global economy, almost 4 in 10 U.S. workers (38 percent) do not anticipate receiving above inflation pay raises this year, according to the 2012 Pay Optimism Scale conducted by NorthgateArinso. Nonetheless, American employees prove to be slightly more optimistic than global employees. Almost half (45.1 percent) of global workers fear they have no chance of receiving an above inflation wage hike. If these expectations are met, it will mean that the majority of people actually lose money on their salary in 2012.
“These results not only highlight the economic realities of many employees, but also immense opportunities for businesses”
The 2012 Pay Optimism Scale found that some of the lowest expectations for wage increases are in the Eurozone (54.5 percent). UK employees showed minimal optimism with 70 percent not anticipating a pay increase. Employees in the Asia Pacific region were more positive with more than a third (36.5 percent) expecting an above inflation boost.
“These results not only highlight the economic realities of many employees, but also immense opportunities for businesses,” said Brad Everett, NorthgateArinso vice president of strategy, marketing and portfolio management. “Business leaders should be asking about other ways to make sure that their talent feels valued. After pay, relatively low cost initiatives such as flexible working and wellness programs, like on-site trainers, are hugely prized by employees and these are changes that companies can easily make to show how they value workers.”
Adding to the difficulties faced by employees in the U.S. and abroad is the perceived lack of action taken by employers to help soften the blows dealt by the tightening of corporate purse strings. According the survey, 69 percent of global respondents and 73.3 percent of U.S. respondents said their business has not adapted to economic conditions by increasing non-pay related benefits. Non-monetary benefits can be extremely beneficial to employees during economic turmoil, with the most popular benefits being flexible work options.
To see full study results, please visit www.ngahr.com/global-pay-optimism-index.
*Research included over 1,300 respondents across United States, Canada, United Kingdom, France, Germany, Italy, Spain, Portugal, Denmark, Belgium, Finland, Norway, Sweden, Switzerland, Netherlands, China, India, Malaysia, Singapore, Australia and New Zealand in May 2012.
NorthgateArinso is the leading global Human Resources software and services provider offering innovative HR business solutions to employers of all sizes, including global Fortune 500 companies and many public sector organizations. NorthgateArinso helps HR executives optimize their HR service delivery through smarter processes and more efficient technology, supporting key HR areas like workforce administration, payroll, benefits, recruitment, learning, and talent management. NorthgateArinso’s 8,500 employees in 35 countries are dedicated to delivering HR excellence through HR consulting, HR outsourcing and HR technology.