Getting a pay raise in a recession

If you feel you deserve a pay raise, how do you go about asking for more money when the economy is in recession? This article gives you some general advice, as well as language and cultural tips to help you get a pay raise.

Research

First of all, you need to think about whether your company is in any position to offer more money. If people have been made redundant, it's probably not a good time to ask for a raise. But remember, too, that if you can prove you have a vital role in the company, your boss will probably give you a raise to keep you happy.

Secondly, do some research to find out the market rates for your job. There are a number of websites publishing salary surveys, but you should also keep an eye on job advertisements in national papers, and network with people in similar jobs to find out if your salary is competitive. Alternatively, set up an appointment with a job recruiter or head-hunter who will probably know the standard pay in your industry.

Preparing your case

You need to work out why you deserve a raise. Make sure you have quantifiable facts and figures to show your boss how valuable you are as an employee. Have you made a profit, brought in new customers or improved productivity? Perhaps you've taken on extra responsibilities, supervised people and projects, or achieved company objectives. The key is to base your request on your performance as an employee - not on why you need extra money.

Have a specific increase in mind that will reward your contributions and responsibilities. If you think your boss is unlikely to give you extra money, think about perks you could ask for instead, such as extra holiday, training, health or child care or flexible working.

When you feel you have prepared your case, and you have enough "evidence" to persuade your boss, put it in writing. Ask someone to read it to see if your points are clear. Practise what you want to say as concisely as possible. If possible, practise your meeting with another person, so that you feel prepared for any questions. The more you rehearse, the more confident you will feel during the meeting with your boss.

Timing

As a general rule, Monday mornings and Friday afternoons are not a good time to discuss pay.
Ask your boss in advance for a meeting, so that he / she has plenty of time to prepare. You can do this in a short email:

Dear XX

Would it be possible to set up a time to discuss my compensation? / to have a performance review?
(Or : I would appreciate the chance to meet to discuss a performance review. )

Please could you let me know when would be a convenient time for you?

What to say during the meeting

During the meeting, aim to be brief and direct.

1. Highlight your contributions

"I'm asking for a pay rise now because of the contributions I have made / the extra responsibilities I have taken on…"

As you know I have completed various key projects this year (say what they are)
/ I have achieved my budget goals / I have increased profits by X% /

2. Ask for a specific amount

"I'm looking for a pay raise of 5%."

… It reflects the extra profit I have made for the company / the savings that I have made / the new accounts I have brought to the company

3. If necessary, talk about what other people in your job are paid

I feel this is appropriate as it is line with current pay levels for someone in my position in the industry."
From my research into current market conditions, someone in my position earns around XX.

4. If your manager says no

'I understand that finances are difficult. Can we discuss non-salary perks?'

What can I do over the next (six months / year) to make myself eligible for a pay raise?
What do I need to do to get this raise?

Cultural tips

- There's a fine line between highlighting your achievements and boasting. Be as objective as possible during the meeting to let the facts and figures impress your boss.

- Don't get upset if your boss rejects your request. Use one of the phrases above to show that you are committed to the company and to improving your performance as much as possible.

- Don't threaten to leave or to suggest another company has given you a better offer. It can sound like blackmail and make you look unprofessional.