Leading human resources consulting firm, Buck Consultants, completed its survey in January 2010 with responses from 180 employers, representing virtually every sector of the U.S. economy and examining bonus payments, salary increase budgets, and related workforce practices that have a significant impact on labor costs. The survey revealed that pay increases for 2010 average 2.2 percent. This is greater than last year’s average, but slightly less than the 2010 projections made by companies in a prior survey Buck conducted in July 2009.
“Overall, economic conditions appear to be improving slowly,” said Burke. “We’re seeing a gradual lifting of pay freezes and hiring freezes. Companies that implemented salary cuts are restoring salaries in most cases. Employers realize the importance of reinvesting in their workforces as the economy shows signs of recovery. At the same time, they are being cautious so they are in sync with business performance.”
Other key survey findings include: