Should I expect at least a cost of living raise
Should I expect at least a cost of living raise
(OP)
I work (I have been there for about 1.5 years)for a small company and last year I got a really good evaluation but only a 1.8% raise. He said he had a bad year so I didn't think much of it. But since then me and another engineer have started quizzing him about the future. He made the comment that if he gave us 3 to 4% raises every year then in 10 years we would be making $100,000 and he also claimed the inflation rate last year was negitive 1.5% (deflation) which I know isn't true. What type of raises do you typically get? Would you consider a raise less than the cost of living a deduction in salary? I am currently looking for another job. I am expecting that advice from some of you. Thanks for any input.





RE: Should I expect at least a cost of living raise
Labourers should be getting cost of living raises, not professional engineers. I would consider 4% as a reasonable minimum raise for an engineer regardles of inflation.
The increased earning with professions is such an intrinsic part that, in the UK at least, the banks will actually lend a young professional more money compared to their salary than a non-professional. Beacause they assume that your income will go up.
If you are not getting a raise in real terms then look for somewhere that will. But stay put until you can get at least a 10% higher salary.
csd
RE: Should I expect at least a cost of living raise
I bitch and moan if I get less than 4%.
Cheers
Greg Locock
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RE: Should I expect at least a cost of living raise
-The future's so bright I gotta wear shades!
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RE: Should I expect at least a cost of living raise
RE: Should I expect at least a cost of living raise
If you are not profitable for the company, it would be difficult to justify paying you more. A raise is not a right. If you want to make more, help the company make more.
ZCP
www.phoenix-engineer.com
RE: Should I expect at least a cost of living raise
RE: Should I expect at least a cost of living raise
RE: Should I expect at least a cost of living raise
Agreed. 100k is not an unreasonable salary to expect 10 years from now. I'd get out now if your boss is that stupid (or thinks you are).
-b
RE: Should I expect at least a cost of living raise
BTW, sms had good advice. :)
Matt
CAD Engineer/ECN Analyst
Silicon Valley, CA
sw.fcsuper.com
Co-moderator of Solidworks Yahoo! Group
RE: Should I expect at least a cost of living raise
If he insists that inflation was -1.5% last year he is lying, ignorant, or misinformed, none of which are traits I look for in someone upon whom my income is dependent. To get to 100K in 10 years, assuming 3.5% raises per year, you are now making 70K. If you are 1.5 years out of school (which I may have incorrectly inferred), I think you are doing pretty well at 70K. If you don't make 70K now, this guy is mathematically challenged, another unattractive trait (I hope my calculation is correct since I'm so quick to judge).
If you choose to stay, perhaps you can request more responsibility and a greater raise. I assume your responsibilities do not include bringing in new work and you have no equity. If not, he had the bad year, not you. If you got a good evaluation and you are deserving and capable of more responsibility but he can't provide it for you, perhaps you can find it elsewhere.
Based on my perception of your situation, if it were me, I'd be hunting for another job like you are.
RE: Should I expect at least a cost of living raise
I kept seeing QA personnel come in making twice as much as i was making all the while i had to teach them how to do their jobs! None of them lasted more than 3-4 months and i had to put my QA hat everytime to cover for this department.
I came to realize the only way to obtain true market value was by testing the market. Thus, I decided to leave the company to pursue other opportunities and i was able to use my experiences in this company to land a great job with excellent pay in the field i had always wanted to work in.
When it comes to the issue of money and raises i try to let my past performance and productivity speak for me during review time. If you do your job and contribute to the company the market will eventually reward you, that i can GUARANTEE. If you're not happy with your current pay, are not happy with your job, and have been contributing your share to the team this might be a good time to test the waters. If your boss doesn't realize your worth there is a company out there that will.
RE: Should I expect at least a cost of living raise
Chris
SolidWorks 07 3.0/PDMWorks 07
AutoCAD 06
ctopher's home (updated 04-21-07)
RE: Should I expect at least a cost of living raise
TTFN
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RE: Should I expect at least a cost of living raise
30osk, I agree, for him to tell me inflation was -1.5% really has me concerned. I currently have 10 yrs experience, sorry I didn't explain that in my post.
fcsuper, my thoughts exactly but he can't comprehend that a 1.8% raise is a decrease.
I have 10 yrs experience and I don't make 100k. In my area the market value is 65k. I started asking around about salaries and 3 firms have contacted me. I make 57k and would be happy with that if I was getting decent raises. My boss said that if we got 3-4% raises every year then in 10 years we would be making 100k. If I wasn't doing a good job I wouldn't mind but my evaluations make me think I am doing a great job. None of my co-workers are getting big raises. He gave everyone $0.50 per hour more. I really appreciate all of your responses.
RE: Should I expect at least a cost of living raise
I talked to a MS student the other day who just took a structural job in Charlotte that will pay around $60k. I know guys in Nashville who started over $50k in the last year or so. I have to think $57k is extremely low for 10 years of experience anywhere in the USA.
RE: Should I expect at least a cost of living raise
The question is not what an engineer should be making now with 10yrs experience. The question is what an engineer with 10yrs experience should be making IN TEN YEARS. So look up what an engineer with 20 years experience makes today and add 10 years of inflation. I think you'll find that to be comfortably over 100k.
-b
RE: Should I expect at least a cost of living raise
- You're underachieving (or being currently overpaid if you like).
- The company can't afford it.
- The owners would rather maximise their own profit (in a short-sighted way).
I don't think you believe the first reason is valid therefore ask yourself if you want to work where either of the next 2 is the reason for your drop in income.
At $57k I would think money is tight, can you even live comfortably on less?
Also your boss's reasoning is somewhat disturbing. Do you trust him?
RE: Should I expect at least a cost of living raise
RE: Should I expect at least a cost of living raise
corus
RE: Should I expect at least a cost of living raise
If your boss admits to being O.K. with continual 3 - 4% raises you should find a new job.
On the positive side, at least your boss was honest. He has the same mentality as many companies. You will find many posts one this web site about people having to leave a job to get a decent raise. The philosophy of why companies do this would be a good topic for discussion.
RE: Should I expect at least a cost of living raise
-The future's so bright I gotta wear shades!
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RE: Should I expect at least a cost of living raise
For the structural engineering survey (http://www.gostructural.com/article.asp?id=1817), they broke out salaries by state and you can see how you compare by location (scroll down the page).
If your salary is as you say, you must be somewhere in the midwest to be competitive. As you can see, Texas is doing quite well - well above your figures.
As for raise percentages, these surveys show a median of 5%.
If you "heard" it on the internet, it's guilty until proven innocent. - DCS
RE: Should I expect at least a cost of living raise
RE: Should I expect at least a cost of living raise
RE: Should I expect at least a cost of living raise
However, family issues came up and we were unable to relocate. There is nothing local in my area.
What I am doing in the meantime is trying to do extra work on the side, for both income and resume building, and next opportunity will be in two years when youngest is out of high school.
I am an EE (Power) with a PE working for a utility with 25 yrs experience.
RE: Should I expect at least a cost of living raise
Be mobile, be independent, finish projects and move. 10 yrs will get you great experiences elsewhere. Don't wait ten years, you may not have it.
I was always laid off by american companies despite my hardest efforts to be retained as I approached 5 years experience. Now I work for another american company in Canada...sigh.... but they have to pay me megabucks, and they're happy and I love my job.
Enjoy the future, keep the wind in your hair.
RE: Should I expect at least a cost of living raise
I think hes dodging the issue. BTW have you done the math yourself on hes claim that "He made the comment that if he gave us 3 to 4% raises every year then in 10 years we would be making $100,000"? Well if you get 4% for 10 year the total "interest" is 48% increase. This mean that 10 year ago you should have made 67,556 in order to get 100,000 pr year today. Besides as it has been said before: Engineering experience adds value to your work by the year (or your cheating your self).
Best regards
Morten
RE: Should I expect at least a cost of living raise