In a weak economy, jobs aren’t a sure thing let alone yearly raises.
Rosenberg’s article, Small Businesses Basing Pay More on Performance, asked CEO’s across the country about pay increases, other rewards, and compensation tied to corporate performance:
Whether they’ll do well is the big question for many small business owners. Jobs and incomes are growing, but not fast enough to make them more confident that a healthy economy will give their sales a boost.
Ben Sayers, CEO of VoIP Supply, was asked about his company’s reaction to the economy. Although VoIP Supply “had been giving bigger raises than it did during the recession” a recent tax increase from Congress will hurt, leaving “less money to put into the business.”
Sayers still expects to be able to give cost of living and merit raises but, “The bucket’s going to be smaller than it would have been,” he said.
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