Skip to Content

Companies plan raises for 2009, but...

More
Text SizeAAA

Filed under: Career

For those of you still employed and secure in your jobs, congratulations! You may be getting a raise next year. A survey by two compensation consulting firms revealed that businesses intend to increase employee pay by an average of 3.5 percent in 2009. But with good news comes bad news these days, of course, and the flip side is that these same employers are still intent on cutting jobs -- 26 percent of them plan layoffs next year.

If you're feeling secure, there's even more good news: Your raise will go farther. That's because economists believe the rate of inflation for 2009 will be just 1.5 percent. Still, you're not completely off the hook. A quarter of surveyed companies plan to raise contributions for health care. Overall, Big Business will be reducing benefits, and many don't intend to give bonuses.

Even if you're not on the receiving end of those raises, take some comfort. With this move, businesses are signaling their long-term confidence in the economy, believing that, hey, maybe the country won't fall into depression and Obama might actually do a good job. They're doing their part to get people shopping again and encourage lenders to reopen their coffers. Of course, that's faint consolation now if you've been axed or nearing the chopping block. But at least The Man is showing some mercy by not cutting back on everything.
Subscribe to Walletpop
Setting a Formal Dinner Table: What Goes Where?
Hosting formal dinner parties isn't an everyday event for most of us, so don't feel bad if you need ...
Trendy Winter Travel: Nordic Spas
Although snow and ice might not be the first things that come to mind when considering a spa ...

Bonnie McCarthy
Bonnie McCarthy Filed under: Kids and Money, Charity

5 ways to teach kids true spirit of the holidays

Frazzled parents. Check. Impossible to do list. Check. Not enough time or money to go around. Check and double check. Happy holidays. In spite of the season's non-stop soundtrack of peace and love, ...
Madhusmita Bora
Madhusmita Bora Filed under: Shopping

East Coast snowstorm threatens to rain on retailers' parade

Today's snowstorm in the northeast could play the Grinch for retailers hoping to cash in on the last weekend before Christmas. Super Saturday is touted as the biggest shopping day of the year. ...
Megan Angelo
Megan Angelo Filed under: Shopping

Your holiday gift from Target: Rodarte

On Sunday, Dec. 20, Target will release one of the more exciting installments of its GO International franchise: a collection by Kate and Laura Mulleavy, the duo behind Rodarte. The GO capsule ...
Charles Feldman
Charles Feldman Filed under: Banks, Home, Investing, Mortgages

Fine print in mortgage modification forms contain booby trap

Signer beware! Turns out the forms homeowners fill out to apply for lower monthly mortgage payments for three months while waiting for more permanent relief contain a potentially lethal booby trap ...

Headlines from WalletPop Partners