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Other key findings: Healthcare services are projecting 2024 budgets that lag other industries, with merit budgets of 3.1% and total increase budgets of 3.4%, as the industry continues to recover from the financial impact of the pandemic.

In addition to the global pandemic impact on salary budgets, the detailed survey covers base salary increases, merit budgets, salary structure adjustments, promotional increases, variable pay, lump sum awards, compensation philosophy and more.

Webinar: Salary Budget Planning for the Year Ahead The Salary Budget Planning Report from WTW, a global advisory and solutions firm, found nearly half (47%) of surveyed U.S. organizations created salary budgets for the 2024 cycle that are lower than the previous year — as the overall median pay raise for 2024 fell slightly to 4.1%, compared with 4.5% in 2023

;WorldatWork: 3.6% mean salary increase budgets for 2026; 3.7% actual mean increase budgets in 2025.; ;WTW: 3.5% average salary increase budgets for 2026; 3.5% actual budgets in 2025.; ;Gallagher: 3.2% to 3.3% average salary increase budgets (job-classification dependent) for 2026; 3.8% to 4.0% actual budgets in 2026.; ;Payscale: 3.5% average salary increase budgets for 2026; 3.6% actual budgets in 2025.; Same Percentage, New Strategies While The Conference Board’s 2026 forecast and 2025 actual outlay figures signify a somewhat status-quo environment for total rewards professionals, the underlying story points to some strategy shifts.

“If the period between budget planning and the announcement of annual pay decisions is limited, I recommend running the analysis in advance of budget planning.”

The Salary Budget Survey helps you: Gain a Competitive Edge: Rely on insights gathered by the leader in compensation and Total Rewards, providing you with the most trustworthy and up-to-date data available.; Attain a Global Perspective: Benchmark your organization against the best with data from 22 countries including the United States, Canada, India, and the United Kingdom.; Conduct a Comprehensive Compensation Analysis: Easily assess salary structures, promotional budgets, equity adjustments, lump sum awards, and variable pay, all in one authoritative report.; Generate Streamlined Reporting: Our Online Reporting Tool allows you to effortlessly customize and drill down to create U.S. and Canada tailored reports for your industry, geographic area, organizational size and/or revenue.; Recognized as the definitive gold standard in compensation studies, trusted and relied upon by compensation professionals worldwide, WorldatWork’s Salary Budget survey has helped organizations benchmark effectively

The benefits landscape has dramatically changed in the past 50 years, but the law that Gerald Ford greenlighted remains the rule of the road, protecting participants in employee benefit plans from abuse and simplifying healthcare plan provisions for employers.

Organizations Are Offering Higher Base Pay for Sales Roles WorldatWork survey, in partnership with SalesGlobe, finds 50% of organizations have offered higher base pay to combat voluntary turnover.

WTW’s latest Salary Budget Planning Report found overall salary increases in the U.S. are forecasted to rise to 4.6% in 2023, up from an actual spend of 4.2% this year.

JT Saunders, chief diversity officer at Korn Ferry added, “DEI and belonging in an organization are not the sole responsibility of CDO.