Women get more raises, but men get more money, study finds
Friday, November 16, 2012
received more pay raises than men during the first nine months of 2012, but men
earned larger pay raises, according to a new Pay Raise Index by TribeHR.
The Pay Raise Index, based on salary and workplace
recognition data from 20,000 employees at 2,200 small and medium-sized
companies, reveals 7.4 percent of women received raises in the first three
quarters of 2012, while only 6.2 percent of men received raises. However, men
were three times more likely to earn a salary increase in excess of 25 percent. Looking at pay raises of 5 percent or more, 60 percent went to men and 38
percent to women.
"It's interesting to see that women seem to be overtaking men in terms of the number of pay raises given, but there's still a stark imbalance in the size of salary increases awarded,” according to TribeHR CEO Joseph Fung. "Employee satisfaction and workplace culture play an increasingly larger role in a business’ brand reputation — and those who pay fairly and amply recognize employee contributions will reap the benefits when it comes to hiring and talent retention.”
the TribeHR Pay Raise Index reported the size of the average salary increase for
employees at small and medium-sized businesses grew from 8 percent in Q1 to 13
percent in Q2, but then dropped to 11 percent in Q3.
TribeHR also examined the correlation between salary increases
and employees who had received documented recognition for a job well done. The
vast majority -- 85 percent -- of documented recognition was given by peers. Employees
who received recognition from peers were two to three times more likely to earn
a pay raise.