In France, as in all of Europe, inflation plays a role. It affects the purchasing power of the majority of us. For this reason, companies should start doing it soon a raise. A survey conducted by WTW also reports an average increase of 3.1% for this year. It will rise 3.3% in 2023.
Companies review their compensation policies
The situation is worrying. Inflation continues gain momentum since the beginning of this year 2022. This has forced many of our compatriots to tighten their belts. However, good news has just fallen.
In fact, companies should check their remuneration policy. The insurance broker WTW conducted a survey on the compensation policies of these companies. According to this poll 35% of these companies are considering increasing their annual salary budgets.
Only 35% of companies have increased the budget for raises:
“The real salary increase for 2022 is 3.1%, which is more than last year, but well below inflation”
— BFM Business (@bfmbusiness) August 1, 2022
The survey also shows this 34% of them would like to emphasize the non-financial elements of compensation. and 30% foresee additional budgets for increases as needed.
An increase for groups of employees
The investigation also revealed other interesting elements. 23% French companies are planning an increase for employee groups. Under these 23%, some have already made the increase. The increase in question is aimed at employees with a high retention risk.
However, it is also aimed at those with rare or critical abilities. 59% of organizations, or 6 out of 10, want to investigate the case of the lowest paid. 21% of them plan to adjust the salary scales. Only 9% of these organizations are considering implementing a second round of salary increases.
An average appreciation of 3.1% in 2022
Khalil Ait-Moouloud, Head of Compensation Survey at WTW, spoke about BFM Business. According to him, it should be compensated decline in purchasing power companies think “Collective Raises”.
At least that’s the goal. As a matter of fact, Inflation can reach 5.5% by the end of 2022. The director also mentioned “other collective measures such as the purchasing power bonus”. That means it’s aboutan increase of 3.1% on average for this year 2022. Remember that in 2021 it was 2.3% according to WTW.
the latter speaks “a significantly high budget compared to practice over the past ten years. » A budget that will enable businesses “Stay competitive to attract the best talent”.
#Inflation : What #increases of #wages 2022 and 2023? Khalil Ait-Moouloud, head of the Compensation Surveys Activity @WTWfr was on this morning @bfmbusiness to unveil the results of the 2022 WTW Inflation & Reward Actions Study: https://t.co/qye812xgms pic.twitter.com/ZARAc6RGgr
— WTW in France (@WTWfr) August 1, 2022
Significant wage increases in 2023
In 2023, the revaluations will be even clearer. As a matter of fact 3.3% on average. It will look like this:
- For executives and managers: +3.1% in 2022 and +3.3% in 2023
- For technicians and employees: +3% in 2022 and +3.3% in 2023
- For managers: +2.8% in 2022 and +3.2% in 2023
- For workers: +2.8% in 2022 and +3% in 2023
This ranking shows that executives and managers will have major upgrades. Revaluations differ from one position to another. Technicians and employees come second. Managers come third and workers fourth.
Different re-evaluations from one European country to another
As mentioned above, not only France is facing inflation. Other European countries also have their accounts. In France, however, this inflation is less significant compared to other developed countries. Because of this, wage increases according to the level of inflation.
It is therefore evident that wage increases in France differ from those in other countries. They are therefore less important there than in other European countries. Actually in Top 15 Savings In Europe, companies are considering raising wages 4.9% on average. These increases are projected for 2022 and 2023, while in 2021 they were less than 0.9 points apart.
Workers in the UK should therefore increase their wages 4% in 2022. In Germany, wages are to be increased by 3.8%. In Spain, on the other hand, there will be no revaluations 3.6%. The US is also planning a wage increase. It will be on average 4% in 2022 and 2023 it is 4.1%.