Employers planning for big raises in 2022, survey finds

(NewsNation Now) — New data shows companies are doing more to keep employees happy, including putting more money in their pocketbooks.

A new survey by Willis Towers Watson shows that nearly a third of the more than 1,000 U.S. companies involved in the study are planning to bump up salaries from last year.

So how do you leverage this opportunity to earn more money in 2022?

“Raise your hand and say, ‘Boss, I’d like to earn more and I think I’m worth it,” Rebecca Knight, senior correspondent for Insider, said during an appearance on “Morning in America.” “A lot of people are doing it right now.”

We know that the “Great Resignation” is taking place. In November, the latest month for which figures are available from the Bureau of Labor Statistics, 4.5 million people voluntarily left their jobs.

“One of the biggest reasons they’re doing so is to make more money,” Knight said.

According to Knight, employees got about a 2.8% salary bump last year. At the beginning of 2022, companies were considering about a 3% raise, but are now looking at about 3.4%.

“People are leaving their jobs in droves,” Knight said. “And companies are falling all over themselves to make sure their employees stay, to attract and retain the people they’ve got.”

Cost of living increases are normally around 3%, so companies might have to do a little better than that, especially with the inflation rates that we’re seeing.

But to keep and hire the best talent, is the money enough?

“So right now, it’s not working,” Knight said. “And it’s not working by a long shot because employees during this global pandemic — that has been pretty undeniably horrible for everyone — employees have really done a lot of soul searching and reflection and thinking they want more out of their lives, out of their careers. So they don’t just want the money.”

Of course, the money doesn’t hurt, but employees “want flexibility,” Knight said. “They want autonomy. They want to feel like the work that they’re doing matters. They want to feel purpose. They want to feel a connection with, not only with their colleagues but with their organizations.”

So employers have got their work cut out for them right now as we seem to be at a turning point in the marketplace, where employers are having to pay attention to the desire of their employees to want to make the world a better place while at work.

“We realize what we want out of our lives and I think employers if they are going to hold onto us and get the best out of us, they’re going to need to connect their mission, what they do, to what we’re searching for,” Knight said.

Watch the full interview with Rebecca Knight in the video player at the top of the page.

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