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Employees Give Raise a Slight Nod over Promotion

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When considering what reward matters most in the workplace, professionals are split on whether they prefer a promotion or more compensation.

In a December 2018 Korn Ferry survey, 45% of professionals surveyed said they would prefer a promotion with no raise, with 55% saying they would prefer a raise with no promotion.

“Appropriate compensation is key to a professional’s job satisfaction, but at least as important is recognition for a job well done. This is critical for motivating and retaining your talent. One of the most visible forms of recognition is a promotion,” said Dennis Baltzley, Korn Ferry global head of leadership development solutions. “Organizational leaders must set expectations of constant learning. This means development and career plans at all levels, so employees see a path for broadening, deepening or advancement.”

According to the survey, many organizations are not adequately creating clear advancement opportunities for professionals. Nearly two-thirds (61%) of respondents who did not get a promotion within the past 12 months cited “bottleneck or nowhere to go” as the main reason. 17% said office politics got in their way of moving up the ladder.

Half (50%) of respondents said they will not ask for a promotion this year. Of those respondents, nearly a third (28%) admitted they are not ready for a promotion, and 15% said they are afraid and don’t know how to ask.

If they were passed over for a promotion, nearly one-third (31%) said they’d be on the job hunt, either immediately or as a passive job seeker.

In terms of timing for promotions, 44% said they thought it was appropriate to be promoted after 2-3 years on the job. About a quarter (24%) said they should get a promotion after 1-2 years in a role, and 7% felt they should be promoted even if they’ve been on the job for a year or less.

“The key to job progression is ongoing development and coaching to ensure professionals are receiving feedback in terms of how they are doing in their current role and what they need to do to be ready to take on added responsibility,” Baltzley said. “And even if an employee is not yet ready for the next role, knowing that there is potential for a promotion to a more challenging role is an excellent way to retain top talent.”


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