No raise: stupid things USA companies do

(written by lawrence krubner, however indented passages are often quotes). You can contact lawrence at:

This is good:

At many companies, the way you get a raise is to quit. As a matter of policy. I am not exaggerating.

The way it works is this: Management figures they’ll save money on salaries by leaving it up to the employees to negotiate for their own pay. So they don’t give raises until someone tries to negotiate for one. Naturally, anyone asking for a raise is viewed as having no negotiating stance unless they have a credible claim to quitting, so raises are only given as counter-offers, generally matching or slightly beating the offer the employee has elsewhere. Management figures as long as they always match what someone is offered elsewhere, the employee will always prefer to stay, because that’s easier to do, and salaries are kept to the absolute minimum they can be with no real risk.

This is completely insane.