Daily News
View All NewsKorn Ferry survey finds 71% plan salary increases next year
A survey by Korn Ferry International (NYSE: KFY) found 71 percent of executives plan to increase staff salaries next year; 27 percent expect no salary increases or decreases in 2015, and 2 percent plan salary decreases.
The survey also found 90 percent plan to give year-end bonuses and 36 percent expect to increase bonuses this year compared to 2013.
“Bonuses and salary increases underscore that there is a huge cost to replacing great people. Executives know this and there is incredible competition for talent,” said Nels Olson, vice chairman and co-leader of Korn Ferry’s board and CEO services practice. “The bottom line for most companies is in top line growth. Executives indicate that the number one reason they would increase hiring is an increase in consumer demand. In this environment, those who are driving sales and revenue are in a much stronger position to secure bigger bonuses and increases.”
In 2014, base salaries increased for 66 percent of their staffs, according to the executives’ survey. Salaries remained at the same level as 2013 for 28 percent and decreased compared to 2013 for 6 percent.
Korn Ferry surveyed 518 executives from Sept. 17 to Oct. 20, 2014.