Salary projections sober after volatile 2009

Unionized workers looking at average 2.1 per cent in 2010
By Gordon Sova
||Last Updated: 02/19/2010

Cautious optimism is the best way to describe the current series of wage increase projections being released. With the recovery still very tentative, companies are taking their time deciding on how much to raise wages and salaries this year.

Such prudence is called for. In 2009, according to Towers Perrin (now Towers Watson), half of companies ended up freezing salaries, though few expected to do so in January. This year, 11 per cent expect to freeze salaries overall, with this increasing to 18 per cent for executive salaries.