Editor’s Note: This story originally appeared on FlexJobs.com.
Many professionals are intimidated by the process of asking for a raise, but regular salary reviews are essential to ensuring long-term job satisfaction and financial security.
As wages stagnate and inflation increases, job seekers are looking for salary transparency to get the pay they need now and in the future.
In addition, many workers are turning to part-time jobs and side gigs to compensate for the lack of wage growth.
To better understand how today’s professionals feel about transparent pay and its impact on their retirement plans and overall financial security, FlexJobs surveyed more than 3,000 US-based professionals to assess the state of their career goals and financial well-being.
The following are the main findings from the study.
Most Employees Never Ask for a Raise
FlexJobs’ Work & Financial Wellness Report found that nearly two in five workers (38%) have never asked for a raise.
Of the employees who asked for a raise, 57% ask for a raise during a performance review (31%) or once a year (26%).
Meanwhile, only 5% of survey takers said they ask for a raise at least quarterly or every six months.
“Asking for a raise can be difficult, but it’s important to stand up for your worth at work,” said Toni Frana, Lead Career Expert at FlexJobs.
“While there is no one-size-fits-all approach to how often to ask for a raise, remember that it is an important part of any successful career strategy.”
A Steady Rise and Growing Interest in Side Hustles
In terms of wage growth versus wage volatility, 43% of workers reported that they did not receive a bonus increase in the past year.
Of the remaining 57 percent of respondents who received a raise, 41 percent said it was the same or less than what they usually get.
The report also highlighted the widespread interest in part-time jobs and unemployment. More than three-quarters (78%) of respondents said they are currently busy or would consider taking one to increase their income.
Retirement Insecurity
Additionally, the majority of respondents expressed lack of confidence regarding retirement planning. More than half (62%) of workers said they were insecure (20%) or very insecure (42%) about being able to retire.
On the other hand, less than a quarter (22%) say they feel somewhat secure (16%) or very secure (6%) that they will be able to retire if they want to. Another 16% feel unsure.
These findings draw attention to an interesting contrast with FlexJobs’ Financial Pulse Report, where the majority of respondents (65%) reported that they are currently saving for retirement.
Despite the high number of professionals saving for retirement, it is noteworthy that about the same percentage of workers do not feel confident about their ability to retire.
This discrepancy between retirement savings strategies and lack of confidence in retirement potential also raises the imbalance between wage growth and inflation.
2 in 5 Employees Disclose Salary to Peers, Dissatisfied with Current Pay
In FlexJobs’ Work & Financial Wellness Report, 41% of employees said they are dissatisfied with their current salary and compensation package.
On the other hand, 36% of employees reported being satisfied, while less than a quarter (23%) said they were neutral – neither satisfied nor satisfied.
The report also revealed that 41% of employees have discussed their salary and compensation with their peers. Of these respondents, 14% said they “always discuss it” with their colleagues. Instead, 59% said they never shared their salary with their colleagues.
Answer from Frana:
“It is not surprising to see a high number of people voluntarily sharing salary information.
“In the past, negotiating wages was considered inappropriate, but with greater access to discussions about pay equity and compensation on platforms such as social media, employees can be better informed about wage discrimination and what is considered fair compensation for their role.”
Flexible Work Remains a Top Factor in Compensation
When asked what benefits they wish employers would provide, most employees rank work and job flexibility ahead of financial benefits, such as 401(k) matching, benefits, and paid sabbaticals.
Here’s a full breakdown of the most sought-after benefits among experts surveyed:
- Remote work options (75%)
- Flexible working hours (63%)
- Four-day work weeks (60%)
- 401(k) match (45%)
- Home office fee (44%)
- Health plan subsidies (38%)
- Mental health support and resources (35%)
- Tuition reimbursement for continuing education (36%)
- Unlimited downtime (31%)
- Holiday pay or travel allowances (28%)
- Student loan repayment assistance (28%)
- Paid sabbaticals or extended leave options, such as gap years for seniors (27%)
- Pet insurance (24%)
- Menopause benefits (18%)
- Childcare reimbursement (18%)
Frana adds: “Today’s workers are clear about the benefits and compensation they need.
But as the FlexJobs survey highlights, many may want to consider self-advocacy, negotiation strategies, and conversations with their employer to better match what they need to grow professionally.”
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