Salary budget increase forecast at 3.9%: Survey

Lowest of 3.5% and 3.6% predicted for Quebec City and Montreal

The annual salary survey from WorldatWork of Scottsdale, Ariz., predicts a budget increase of 3.9 per cent for non-management, salaried employees in Canada in 2009. That compares to an actual increase of 3.8 per cent for 2008 (compared to a predicted 3.9 per cent for this year).

Management on salary should expect the same increases while officers and executives should see a gain of four per cent (compared to an actual rise of 3.9 per cent in 2008).

The survey also finds 68.3 per cent of employees rated as middle performers in 2007, compared to 21.4 per cent of high performers and 7.7 per cent of low performers (who received a merit increase) and 2.7 per cent (who received no merit increase).

The average merit increase given to high performers in 2007 was 5.2 per cent, for middle performers was 3.8 per cent and for low performers was 2.0 per cent.

For 2008, the percentage of high performers is expected to fall to 19.5 per cent, for middle performers to rise slightly to 29.8 per cent and for low performers to remain the same.

Broken down by region, the survey predicts total salary budget rises of:

Actual 2008
Projected 2009
Quebec City3.6%3.5%

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