Disappointed with your appraisal? You may be better off than 50% denied pay hike last year

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New Delhi | April 27, 2018 4:36 PM

According to a survey conducted by job site Indeed on employees across industrial sectors in India, more than half of the respondents stated that they had asked for a hike in the previous year, while a third said they had done so more than once during the same period of time, only to be refused.

appraisal, appraisal time, appraisal time india, appraisal in india, india appraisal, appraisal for employees, when will appraisal take place, appraisal letter, appraisal form, appraisal newsThe primary reason given to these employees was the lack of budgets.

It is appraisal time again and most companies in India have already started the evaluation process for their employees. For this, most organisations follow the bell curve system of management in which they compare employees’ performance relative to others and put them in different rankings – top, average and bottom performers. The employees expect it to make it to the top bracket, however, not all of them are able to. Were you also denied a pay hike? Then, here is a closer look at how appraisal time works in India.

According to a survey conducted by job site Indeed on employees across industrial sectors in India, more than half of the respondents stated that they had asked for a hike in the previous year, while a third said they had done so more than once during the same period of time, only to be refused.

The primary reason given to these employees was the lack of budgets. However, close to a third respondents were also told that their quality of work was not up to the mark. What comes as a major disappointment for most Indian employees is the fact that they are paid lower than other countries. The survey revealed that over 64% of respondents believe that Indian salaries are generally lower than the average.

Sashi Kumar, Managing Director, Indeed India, said that the priority for the organisations is that their expectations are met. “While wage growth continue to be the leading priorities for employees, it is imperative on part of organizations to ensure that employee expectations are met,” Kumar said.

“In today’s era of transparency and peer consultation, employees are far more informed about industry standards and company cultures. Millennial job seekers in particular – are today exploring highly aspirational career paths, and are not afraid of seeking greener pastures and newer experiences to further their professional goals and widen their horizons,” Kumar added.

However, this doesn’t stop Indian employees from asking for a pay hike. A total of 93% of the respondents possibly or definitely plan to ask for a pay raise in the coming appraisal cycle for 2018, with women more likely to ask for a raise than men.

The survey suggests that 67% of all women respondents confirmed that they would be asking for a pay raise in comparison to 64% of men.

The figures point towards two things – most employees are not satisfied with their current level of remuneration and more women than men are dissatisfied with their current pay. As many as 20% of women respondents believe that their male counterparts are being paid more than them, only 9% of men feel their female peers are being paid less than them.

Moreover, 80% of respondents agreed that they would consider changing their job in order to secure a pay rise, a majority of them being in the 25-34 age group. Even though 50% respondents cited their good work as a reason they should be rewarded, a significant faction also stated that the rising cost of living, the extra responsibilities and extra hours of work put in by them should be compensated.

Over 60% stated flexible work hours as an alternative to a pay hike, while 47% suggested an increase in annual leave. Close to 40% also cited paid parental leave as a benefit they would prefer, while 63% respondents asked for healthcare benefits instead of a pay raise.

Now, here is an interesting fact. Out of those who didn’t plan to ask for a pay hike, 43% claimed that their present salary was satisfactory.

The survey was conducted by Censuswide, a UK-based survey consultancy, on 2005 employees from companies across various sectors like IT, Telecom, Education, Manufacturing & Utilities, Finance and Healthcare. A majority of these participants were in the age group of 25-44 and in full-time occupations. The average length of employment at the current company was about 6 years. The average annual pay was a little over 6 lakh.

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