Question on prorating salary?

Question

I joined the company in March 2007 and the company has the policy of doing a salary review for everyone in September 2007 and prorating the increase for new hires based on number of months they have worked before September.

My manager informed me that I was able to get a 4% increase. However, since I have been in the company only for 6 months, the % will be prorated and I will be getting a 2% increase. The next review will be in September 2008.

Though initially this logic made complete sense, on 2nd thoughts, I feel that it's flawed. Why am I being offered only 2% raise for the next 1 year even though my annual increase should be 4%.

Any thoughts on this?

Thanks

Answer 1

You need to ask your manager if this is a company-wide increase or one that is based on ability and job performance. If it is the latter; then yes I agree it is flawed. But if everyone is getting a standard of living increase, then I would ask how one gets evaluated on their performance.

If the response is not a good one in your opinion, then I would think about starting to look elsewhere.

Good Luck.

Answer 2

I am assuming its like when you move into an apartment and they prorate the rent for that month. Which doesnt really make sense for a job. Are you working a job that is off during summer. Maybe it means they can prorate your salary so that you get paid even during the summer. Good luck

Answer 3

That happened to me when I first came to my company. That's because they can't base it on a full year's work. It sounds unfair, but that's the way it is. Think of it this way, atleast you're getting half because you met the 6 month mark. You could be getting 1% because you were there for 3 months. It'll be better next year =)

Answer 4

You got half a year's percentage of raise, you were there half a year - sounds fair to me. That's what prorating means. Think about it - if you had been there just one week, would you have expected the full percentage?