Recent research found that if you’re not a standout worker, you most likely won’t score a big raise or bonus at your job next year, even though there’s been an increase in job growth. Other research has found that most American employees didn’t get a raise this year, even though some in the high-income bracket were the most likely to have a larger paycheck.
Still, some have people have high financial hopes for 2017: A survey of more than 300 senior-level managers employed in the U.S., conducted by staffing firm Robert Half, found that 42% of managers surveyed think the bonuses they’ll be giving out will be “somewhat higher” this year compared to last year, and 9% think they’ll be “much higher.” Taken together, 51% of managers believe they’ll be seeing better numbers this year. The survey also found that 39% of managers think the bonuses will be the same as last year, 7% said “somewhat lower,” and 3% said “much lower.”
An outside research firm carried out the survey, and the managers were employed at companies with at least 20 workers.
How companies come up with bonuses
A separate survey by Robert Half explored the main methods employers use to come up with bonuses.
The most popular way was “individual and company performance,” at 27%. “Individual performance only” was at 16%. The least popular was “company performance only,” at 8%.
Paul McDonald, senior executive director at Robert Half, commented on the findings in a statement.
“Bonuses are a key recruiting and retention tool, especially with the intense competition for top performers… If budgets are tight, other ways to recognize exceptional work at the end of the year include gift cards, a department celebration or additional time off for the holidays,” he said.