{"id":1413,"date":"2019-01-18T14:53:14","date_gmt":"2019-01-18T22:53:14","guid":{"rendered":"https:\/\/ascentblog.org\/?p=1413"},"modified":"2019-01-21T08:28:07","modified_gmt":"2019-01-21T16:28:07","slug":"compensation-a-driving-factor-in-2019","status":"publish","type":"post","link":"https:\/\/ascentblog.org\/compensation-a-driving-factor-in-2019\/","title":{"rendered":"Compensation a Driving Factor in 2019"},"content":{"rendered":"\n

Unemployment\nrates have been at historic lows for months now \u2013 great news for job-seekers,\nwho can afford to be choosier than at any point in decades. For employers, it\nmeans pulling out all the stops in order to distance yourself from the\ncompetition and attract top talent. In 2019, this means you can expect to pay more\nmoney in salaries and wages if you wish to remain competitive. <\/p>\n\n\n\n

Base Salary\nRates are on the Rise<\/strong><\/p>\n\n\n\n

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Over\nthe past few years, annual salary increases have averaged just under 3 percent.\n2018 saw a slight uptick, with hourly pay increasing 3.2 percent. With the\nred-hot job market showing no signs of slowing, employers can expect to shell\nout more money in 2019. Private sector salaries are anticipated to rise by 3.4\npercent over last year\u2019s numbers, with even larger increases for top\nperformers. Chalk it up to the cost of doing business in today\u2019s economy, where\nvoluntary employee turnover is the highest it has been in a decade.<\/p>\n\n\n\n

Industry\nexperts say 78 percent of organizations list employee retention as a top\npriority in 2019, and 73 percent believe attracting new employees is key. Just\ntwo years ago, those numbers were 68 percent and 63 percent respectively.\nEmployers are on the right track in this thinking; a report<\/a>\nreleased last month by the Global Talent Monitor indicates that workers are\nexpecting larger salary increases than employers are planning for this year,\nwith base-pay expectations rising a full percentage point over the previous\nquarter. In addition, they expect bonuses to be paid earlier in the year. With\na job market where employees are essentially calling the shots, it\u2019s imperative\nthat companies take stock of their compensation plans for 2019 and adjust those\nnumbers accordingly, or risk losing their best employees to competitors willing\nto pay what the market dictates.  <\/p>\n\n\n\n

How Can You\nRetain Top Talent?<\/strong><\/p>\n\n\n\n

In\norder to remain competitive in a year in which unemployment rates are expected\nto remain low while economic growth continues, it\u2019s crucial you monitor certain\nareas of your practice. You will need to determine whether your organization is\nfacing talent shortages in certain areas, and whether salary rates for your key\npositions are keeping pace with industry demands. Additional factors to\nconsider in a tight labor market:<\/p>\n\n\n\n