One of the primary reasons that employees work hard to earn promotions is the promise of a raise. The exact amount to expect from a raise depends largely on the employer’s budget and the specific duties associated with the new job title. In this article, we will discuss the national average for promotion raises and offer tips on what you should consider when negotiating a promotion.
National Average for Promotion Raises
According to the Bureau of Labor Statistics’ annual review, the average raise for a performance-based promotion is 3.0%. This means an employee earning $40,000 per year could expect a raise of $1,200 after a promotion. However, it is important to note that this is just an average and the actual percentage raise can vary depending on a number of factors.
Factors That Affect Promotion Raises
There are several factors that can affect the percentage raise an employee can expect after a promotion. Here are some of the most important factors to consider:
Industry:
The industry in which the employee works can have a significant impact on the percentage raise they can expect after a promotion. For example, industries that are experiencing high growth or are in high demand may offer larger raises to attract and retain top talent.
Company Size:
The size of the company can also impact the percentage raise an employee can expect after a promotion. Smaller companies may have less budget for raises, while larger companies may have more flexibility to offer larger raises.
Performance:
An employee’s performance is one of the most important factors in determining the percentage raise they can expect after a promotion. If an employee has consistently performed well and exceeded expectations, they may be eligible for a larger raise.
Market Value:
The market value of the employee’s skills and experience can also impact the percentage raise they can expect after a promotion. If the employee’s skills and experience are in high demand, they may be able to negotiate a higher raise.
Negotiation Skills:
Finally, an employee’s negotiation skills can also impact the percentage raise they can expect after a promotion. If an employee is able to effectively negotiate with their employer, they may be able to secure a higher raise than they would have otherwise.
Tips for Negotiating a Promotion Raise
If you are negotiating a promotion raise, here are some tips to keep in mind:
Do Your Research:
Before negotiating a promotion raise, it is important to do your research. Research the industry, company, and position to determine what the average raise is for a promotion in your field.
Highlight Your Accomplishments:
When negotiating a promotion raise, it is important to highlight your accomplishments and the value you bring to the company. Be prepared to provide specific examples of how you have contributed to the company’s success.
Be Realistic:
While it is important to negotiate for a fair raise, it is also important to be realistic. Consider the company’s budget and the market value of your skills and experience when negotiating a raise.
Consider Other Benefits:
When negotiating a promotion raise, it is also important to consider other benefits that may be available. For example, you may be able to negotiate additional vacation time, flexible work hours, or other perks that can improve your work-life balance.
Conclusion
In conclusion, the percentage raise an employee can expect after a promotion can vary depending on a number of factors, including industry, company size, performance, market value, and negotiation skills. While the national average for a promotion raise is 3.0%, it is important to do your research and consider your individual circumstances when negotiating a raise. By highlighting your accomplishments, being realistic, and considering other benefits, you can negotiate a fair and competitive promotion raise.