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25 Percent of Companies Plan to Freeze Salaries in 2009

Your Two Cents: Is Your Salary Frozen?

The outlook for salary growth in 2009 does not look good. Mercer consulting firm conducted a survey about employee pay and released the results just yesterday. Here are the highlights (or not-so-highlights).

  • 25 percent of organizations said they have already decided not to raise their employees' pay in 2009.
  • 20 percent are considering a salary freeze this year.
  • Just one year ago, 5 percent of companies had planned hiring freezes.
  • Mercer predicts that by the end of 2009, one in three companies will have frozen wages at 2008 levels.


Join The Conversation
bixmaschine bixmaschine 8 years
Mine's not frozen, and I got a raise. but members of my family were either given a pay cut, then laid off...or affected by the CA state budget mess and have furlough days now.
Spectra Spectra 8 years
Mine's not frozen, but we're not dependant on mine anyway. My husband's salary is actually going UP by $10,000 this year for travel bonuses, so I can't really complain.
mnp mnp 8 years
No layoffs here but a salary freeze because business has been slower.
insanitypepper insanitypepper 8 years
I'm about to get a salary cut of about 17.5% Not happy.
SDTransplant SDTransplant 8 years
I'll be getting a raise as a non-exempt worker in a few months' time, but my co-workers who are exempt employees will not be. I feel bad for them, but at least no one has been laid off in my office.
wackdoodle wackdoodle 8 years
MUNI salaries have been frozen since before I started. SF determines what it will pay its drivers by what Boston and Santa Clara pay their drivers. If neither city gives their drivers a raise then SF drivers don't get a salary increase. All pay increases for drivers have been frozen for over 5 years maybe 10. SF is a very weird city in that it wants to stay soundly in 3rd place as far as pay for its city bus drivers. They want to stay ahead of NY and Chicago but behind Boston and a suburb in Northern/Central CA. Must escape this ridiculousness.
emalove emalove 8 years
No, thank God...but you never know what the future holds, right? Ugh.
WeTheLiving WeTheLiving 8 years
No salary freeze, but if things get worse, they are considering a pay CUT with a four day work week.
sorrowja sorrowja 8 years
Next month I'll be with my company for 1 year (keeping all figures crossed)I know they have a hiring and salary freeze. So I'm not expecting to see an increase anytime soon in my future.
lilkimbo lilkimbo 8 years
At my part-time job (at Sephora), they have put a freeze on raises, though. However, I was only expecting maybe like 25 cents/hour and I work like 8 hours a week, so it wouldn't have made a big difference.
bluebellknoll bluebellknoll 8 years
Nope. And I received a 5% raise in January which I'm happy about since the company moved and now I have a MUCH longer commute.
lilkimbo lilkimbo 8 years
There hasn't been a freeze put on raises where I work, but we don't get our evaluations until June anyway. I'm not sure I'll be getting a raise then, though, as I just got a big promotion with a big raise in December.
skigurl skigurl 8 years
no, but they stopped giving raises (at least for this year) at my former place of employment and my former colleagues/friends are pissssed. i would be too.
sonya-ina sonya-ina 8 years
Nope! Thanks goodness. But, I'm not up for raise until November anyway.
ilanac13 ilanac13 8 years
mine is - our company is on a freeze until July - but the really frustrating thing is that if you move up a position, you'd get a raise, but there's NO position in my company that is between the level i'm at and my boss's level - so that means that i'm kind of screwed. i get the reason for doing this, but it's not like my landlord has put my rent on a 'freeze' - the cost each year goes up and i'm barely making ends meet now, so how am i going to do it when he raises it again and i'm STILL making the same money. there should be a mandate for at least a cost of living increase in pay - even during freezes!
starangel82 starangel82 8 years
We are not having a salary freeze. And we got our raises. Granted, the percentages were not nearly as high as they could have been, but I'm not complaining.
OHmeetsBK OHmeetsBK 8 years
We are not having a salary freeze. But across the board, the raise will be 2.5% when usually, many people get more of a raise than that (i got 10% last year). Also, our boss announced he chose not to receive a raise at all.
gooniette gooniette 8 years
There is a hiring freeze for all non-commission workers, but not a salary freeze that I've heard of....yet.
cokerad cokerad 8 years
Yep, the large national bank that I work for froze supposedly "all" raises up and down the ladder. Of course that affects us way low down much more than the people already making the six figures, but we all have to suffer apparently.
aimeeb aimeeb 8 years
*Underpaid rather
aimeeb aimeeb 8 years
I'm part of the 25% who didn't get a raise. I just started with them last June, got a stellar review but in hopes of not having to lay people off they did not give raises this past December soo ya.. Hello Unerpaid here!!!
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