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The survey of more than 800 U.S. organizations showed employers delivered an average merit increase of 3.2% and a total increase of 3.5%, which encompasses all salary increases, including merit, promotional, cost-of-living and other adjustments, in 2025.

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Last year, Daniel Harding, director of global total rewards at Plug Power Inc., started working with the company’s PBM on a program through which pharmaceutical companies meet with doctors to discuss the importance of taking cost into consideration, particularly for employees with expensive specialty drugs.

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CNN reported May’s job gains were considerably higher than the April total, which was revised down to 165,000.

For example, one component would reward total sales performance, while a second component might reward product mix, profit or new account sales.

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Editor’s Note: Additional Content For more information and resources related to this article see the pages below, which offer quick access to all WorldatWork content on these topics: Employee Benefits ;Well-Being; FREE Newsletter FREE E-newsletter Subscribe to Workspan Weekly for news on trends and compliance in Total Rewards, compensation and benefits.