- According to The Wall Street Journal, the era of "hefty pay increases is over."
- Winning a raise when employers have the upper hand — like in uncertain economic times — can be difficult, but not impossible.
A wave of uncertain economic signs in recent weeks has both companies and employees preparing for the possibility of a looming recession.
As workers continue to lose the power they amassed during the post-pandemic hiring boom, employers are pinching pennies — nixing raises entirely in some cases.
The Wall Street Journal recently declared the era of "hefty pay increases is over" as hiring slows down and some companies try to reset.
While scoring a lofty wage increase is likely to be challenging as employees have lost some of their pandemic leverage, it's not impossible, CEOs and bosses told Business Insider.
Here are six tips and tricks to maximize your next pay increase directly from the people who have the power to pad your paycheck.
1. Demonstrate your value with cold, hard data
Employees should always hype themselves up when it comes time to negotiate, bosses told BI, but that self-promotion becomes even more important during economic uncertainty.
"In hard times, it's not just about asking for more — you need to show you deserve it too," said Mark Whitley, CEO and founder of Whits Services Corporation, a national recycling vendor based in Missouri.
Workers who can highlight specific projects they contributed to and who can clearly demonstrate how their work benefits the company are more likely to win raises, according to CEOs.
Daniel Meursing, CEO and founder of LA-based event managing company Premier Staff, said he encourages his employees to keep a "win book" of their successes and positive feedback. He said one of his workers used the technique to secure a big raise during a slow season.
"She presented data showing that events she managed had a 95% client satisfaction rate and a 75% rebooking rate," Meursing said. "These numbers spoke louder than any general request could have."
2. Take on extra responsibilities
Some employers suggest workers prove their worth by going above and beyond their job description.
"During tough times, companies need reliable, high-performing employees more than ever," said Kristin Marquet, founder and creative director of PR agency Marget Media. "Ensure you consistently exceed expectations, take on additional responsibilities, and contribute to the company's bottom line."
Employees eager to stand out can pad their resume with extra certifications and skillsets and use those qualifications to leverage more money, bosses said.
Javier Muniz, chief technology officer at LLC Attorney, told BI that his company encouraged employees to take on responsibilities outside of their job description during the economic downturn.
"Those who took this initiative were foremost on our list of salary reviews," Muniz said.
3. Consider Timing
Timing is key when it comes to salary negotiations — especially during times of economic uncertainty.
The best time to request a raise is right after scoring a professional win, several bosses said. Highlighting a series of achievements and successes leading up to negotiations can help bolster an employee's reputation and leave a positive impression on employers.
Employees who showcase a pattern of wins over time can more effectively build a narrative that supports a raise, experts said.
"Consider bringing up your salary increase request after a project or achievement as most successful negotiations happen during such moments," Maxime Bouillon, CEO and co-founder of Archie, a Montréal-based hybrid workspace platform.
4. Show your commitment to the company
During difficult financial times, employers tend to be most focused on their company's survival. Thus, workers who demonstrate loyalty to their workplace may put themselves at the top of the list for raises, CEOs said.
Employers value people who are adaptable and focused on the company's vision, according to bosses who spoke to BI.
"In uncertain economic times, it's crucial to show that you understand the bigger picture," Meursing said, adding that he encourages his employees to "think like the owners."
5. Be prepared to negotiate
Employees looking to request a raise should be clear and concise in what they want, bosses said.
David Weisselberger, an attorney and founder of the criminal justice law firm Erase the Case, suggests employees use a negotiation technique known as "anchoring," in which they make the first offer in salary discussions and aim high.
"I recall one situation where I led the negotiation with a 25% raise, and the company replied with 18%," he told BI.
While 18% raises may be a thing of the past, the technique could still help overachievers maximize their salary increases.
Employees can prepare for negotiations ahead of time by having honest discussions with their managers about anticipated growth expectations and the company's fiscal health, Estrada said.
6. Think long-term
One of the smartest ways for employees to maximize their work perks is by being open to other forms of compensation, some experts say.
During difficult economic times, money might be scarce, regardless of how valued an employee is. But workers can still win perks by negotiating beyond salary for things like bonuses, extra time off, flexible work arrangements, or professional development opportunities.
Sergey Taver, a marketing manager at Precision Watches, said the company had an employee who successfully negotiated for additional training, which later positioned them for a higher role.
"After discussing the raise, remain open with your employer and illustrate your willingness to help the company through a tough patch," Taver said. "This can help secure a raise at a later stage."