The recession has been hardest on the millions of workers who lost their jobs, but that doesn’t mean it’s been easy on those who have kept working.
Now some reprieve may be coming.
Three-quarters of the companies that instituted pay freezes in the past 18 months have either lifted them or plan to by the end of the year, according to a new survey of 239 employers done by Buck Consultants, a Xerox subsidiary.
The survey also found that 70 to 80 percent of employees can expect a pay raise this year, and that figure should reach around 90 percent next year.
That’s a big improvement over 2009, when 50 to 60 percent of employees received raises.
But don’t start dreaming about a new house or car yet. The survey found that salary increases will average 2.8 percent in 2011, up from from an average 2.5 percent this year and 1.8 percent in 2009.
“Employees shouldn’t expect big gains in pay until there is a sustained economic recovery and significant improvement in the unemployment rate,” Tom Burke, principal at Buck Consultants, said in a release.