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Author Topic: Employers are Deflating Salaries in Job Ads to keep Pay Down  (Read 240 times)
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December 20, 2022, 04:27:09 PM
 #1

Read a snippet of the article here
Quote
Job seekers are learning that there’s the top end of the pay scale, and then there’s the real top end.

As more companies disclose pay ranges in job listings, especially in places like New York City and Colorado where it’s now required by law, what’s listed as the maximum salary may be closer to the middle, according to multiple human resources executives and pay experts. Some employers are trying to limit the demands of potential hires seeking top dollar, while preventing existing workers from finding out they are underpaid. Range deflation comes up often on industry webinars, but compensation specialists and some human resources chiefs worry it could backfire.

Really crazy things are happening out there. Now to you the reader, supposing you have worked for the past 5 years your current organization and you find out accidentally from the HR in your organization that what you are being paid isn't the highest amount for your position. That is, you are being underpaid, would you ask for a raise or look for another job knowing that with your experience level you'd get a higher pay in another organization?


You could read the complete are here

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December 20, 2022, 06:43:40 PM
Last edit: December 22, 2022, 08:58:02 PM by coupable
 #2

I do not think that this hypothesis can be achieved because you, as an employee, will be aware of all the details of the work since the beginning of your employment, including the salary and all promotion conditions. Employers are always attentive to these details to avoid problems later.
When you have better options, it doesn't make sense to keep a job where you get paid less than what you deserve.  The problem begins when there are no alternatives or the country's economic situation is fragile and does not allow you to launch your own project.
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December 20, 2022, 09:42:48 PM
 #3

Now to you the reader, supposing you have worked for the past 5 years your current organization and you find out accidentally from the HR in your organization that what you are being paid isn't the highest amount for your position. That is, you are being underpaid, would you ask for a raise or look for another job knowing that with your experience level you'd get a higher pay in another organization?
I would ask for an evaluation and review if I'm eligible for a pay raise. That normally happens every year as per evaluation depending to the company's regulation about increasing rates and promotions. And if I feel that I should leave my job and hop in to a better paying company, I'll do that. That's where the negotiation might happen if the current company you work for thinks that you shouldn't be let go. They'll negotiate with your terms and asking salary.

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December 20, 2022, 09:52:19 PM
 #4

Really crazy things are happening out there. Now to you the reader, supposing you have worked for the past 5 years your current organization and you find out accidentally from the HR in your organization that what you are being paid isn't the highest amount for your position. That is, you are being underpaid, would you ask for a raise or look for another job knowing that with your experience level you'd get a higher pay in another organization?

On the time you do find out that you are underpaid then it cant really be avoided to have that surge of emotion deep inside that you should earn or get more basing up on your position category
but i wont really be ending up on that kind of having those step or action on making out some complaints that i would be demanding the full pay salary because honestly its really hard to find
a job nowadays and if you do see that you are been suit up on a company which its pay might be less but not also bad then its just too risky if you do make out some steps
or having those kind of demands because if those people who are on top or simply the administration do look bad into you, then try to find a new job
as you would really be potentially get fired for that, thats how harsh reality works.

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December 20, 2022, 10:11:02 PM
 #5

nothing new here. its normal business practice across many sectors

once you are overextended where you have had pay rises in work. and reached the top payrise limit rate of your role.. you become replaceable. they find ways to sever you out of the role and employ someone new at the new base pay

many cases here in the UK
starting pay min wage, with 4 grades of pay increase if being trained up to certain level..
however the inflation rate uptick of those 4 grades is less than the uptick of minimum wage

EG
say it was $£7.50min with a $£0.50 per hour pay rise per training level. meaning fully trained for a basic role becomes $£9.50

each year offers a 2% uptick
so over 5 years a $£9.50 employee by his contract starting 2017
is now on $£10.48
yet a fresh recruit is on $£10 min wage and with just level 1 training level becomes better paid than the guy with 5 year experience and 4 levels of training
then when the fresh recruit is fully trained they are on $£12, while the guy with 5 years experience and same level training. is still on $£10.48

and trying to get a $£2 pay rise to outpace the fresh recruits is met by harsh rejection of "accept what your given or leave"

because in a businesses mind. a fresh recruit is younger fitter and more efficient so the dead wood needs to go

i have spoke with many people in retail, food service and office work that have had those experiences

I DO NOT TRADE OR ACT AS ESCROW ON THIS FORUM EVER.
Please do your own research & respect what is written here as both opinion & information gleaned from experience. many people replying with insults but no on-topic content substance, automatically are 'facepalmed' and yawned at
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December 20, 2022, 11:07:21 PM
 #6

This has been a typical occurrence for many years, even decades. The root causes of which have long been known, studied, ignored and forgotten.

If inflation is 3% annually. All employees must receive a 3% pay raise to break even, and not experience depreciation of salary. Lack of pay raise to maintain parity with inflation, results in declines of wages. Which translates to decreased purchasing power of consumers and declining standard of living over the long term.

There have been a few major causes of US employees receiving pay cuts over the past two decades. Can anyone guess what they were? To offer a hint, these pay cuts affected middle class americans more than any other income bracket. It is likely middle class america who understand best the form and shape these pay cuts take. As they have been hit by more of them than any other demographic.

While the main causes of these trends are known. (As I have seen them discussed for the past 15 years over the internet.) Most of the discussion appears to have gone offline. Its not nearly as common for people to discuss these topics on internet forums or discussion groups. But judging from recent trends, it would seem that people are becoming much more knowledgeable, despite the lack of internet participation. They are much more knowledgeable on topics like this one, than they used to be. It shows in choices relating to things like immigration and voting patterns, becoming more informed over time.

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December 20, 2022, 11:21:51 PM
 #7

Surely it's only bad employers that have to worry about this (that could be most employers) but realistically if you get on with your team and think you're valued (even if it's things like being given an extra day off after taking holiday - especially for things like weddings and funerals), you might be more likely to stay where you are.

The employers this sort of thing should concern are likely the ones who aren't great to work for anyway and have a high turnover of employees (normally) and a few that stick that end up being the ones to keep the company going. 
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December 21, 2022, 01:20:04 AM
 #8

It really hurts when you find out this, its either this is bad management or your employer didn't see your worth. It is not the best choice to find immediately a new job if you saw this, you need to explain to your employer and also ask for raise if still they didn't give you what you've asked that is the time you'll find another work. I experienced this also currently we already asked for raise but they keep telling us next year they will so I've decided if ever no increase next year i will find another job and quit on this
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December 21, 2022, 01:32:09 AM
 #9

If I love my current company, I think I might politely request for a raise. If I don't and there are other openings out there with a higher pay, I will definitely leave.

But this is not the dilemma from where I am right now. I generalize that majority of workers here in my country don't love their jobs, and they are also underpaid. And not only that, they are also overworked. They are thoroughly exploited but not properly compensated. But the option to leave and move to another job is close to nonexistent. All of them are dispensable. And it's not hard to look for a replacement. A request for an increase is pointless as they are even underpaid. Even the required minimum wage is low.

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December 21, 2022, 10:40:05 AM
 #10


Really crazy things are happening out there. Now to you the reader, supposing you have worked for the past 5 years your current organization and you find out accidentally from the HR in your organization that what you are being paid isn't the highest amount for your position. That is, you are being underpaid, would you ask for a raise or look for another job knowing that with your experience level you'd get a higher pay in another organization?


Here in our country, daily wage workers have a standard wage based on the law passed by the government but if you're working in a managerial position and you think that you're not getting the right wage and you're company happens to be in the top 1000 company, then you should ask for a renegotiation of your contract if they will not grant it then with your experience you can go look for another job if you're working in a managerial position here in our country its important that you know your range of salary but if you're an average worker then do not agree to be lower than what the law stated should be your minimum wage.

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December 21, 2022, 11:31:05 AM
 #11

This problem could have been avoided, if the trade unions had more members.
When the labor unions don't have enough members and can't protect their labor rights effectively, it becomes easier for the employers to find ways to cut down the salaries.
Sometimes I feel glad that I'm a freelancer and I don't have a boss. Freelance has it's own downsides(which can be quite big), but being your own boss is sometimes better than being a "paid servant" for somebody, who doesn't respect you and tries to pay you less for more work.
The freelance business is full of customers, who demand more work for less pay, but at least you have the freedom to choose your long term customers and ditch the bad ones.

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December 21, 2022, 03:01:27 PM
 #12

Really crazy things are happening out there. Now to you the reader, supposing you have worked for the past 5 years your current organization and you find out accidentally from the HR in your organization that what you are being paid isn't the highest amount for your position. That is, you are being underpaid, would you ask for a raise or look for another job knowing that with your experience level you'd get a higher pay in another organization?
Some time ago, I was laid off work due to the recession. I already had a good number of years at the organization and had become proficient in my area of practice. I dusted up my CV and started sending it to recruiters on LinkedIn and on other platforms. Some organizations were impressed with my CV and I got a good number of calls of interviews. I got for offers for the same position and ended up picking the organization with the higher pay. I will always go for a higher pay because from experience job security is a myth.

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December 21, 2022, 03:46:06 PM
 #13

Read a snippet of the article here
Quote
Job seekers are learning that there’s the top end of the pay scale, and then there’s the real top end.

As more companies disclose pay ranges in job listings, especially in places like New York City and Colorado where it’s now required by law, what’s listed as the maximum salary may be closer to the middle, according to multiple human resources executives and pay experts. Some employers are trying to limit the demands of potential hires seeking top dollar, while preventing existing workers from finding out they are underpaid. Range deflation comes up often on industry webinars, but compensation specialists and some human resources chiefs worry it could backfire.

Really crazy things are happening out there. Now to you the reader, supposing you have worked for the past 5 years your current organization and you find out accidentally from the HR in your organization that what you are being paid isn't the highest amount for your position. That is, you are being underpaid, would you ask for a raise or look for another job knowing that with your experience level you'd get a higher pay in another organization?


You could read the complete are here




Well, unlike Bitcoin deflation which main purpose is to keep increasing the price of holders bitcoins and their purchasing power,  the so called deflation of USA employees salaries reduces the actual amount of money they are supposed to be paid and consequently their purchasing power.     I actually will continue working if that is the kind of work I am passionate about and talented in. And that will also depend on the working environment. If I can't change things for good in such environment, I may likely leave but not because of the pay. I wouldn't mind working in another place with lesser pay and the right working environment as long as it's the kind of job I'm passionate about or love.
I just don't work for money. It's my least motivation  because I'm certain that money or reward will always come once I find the right job and do it well
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December 21, 2022, 08:09:43 PM
 #14

This has always been a strategy recruiters use, it's only been amplified because very liberal jurisdictions that want more "fairness" in the job market demand employers post the salary range on all job posts instead of allowing the recruiter and applicant to negotiate compensation IN the final stages of selection. There isn't a salary that would be a one size fits all for every applicant so it's useless for recruiters to post the top line salary when they might settle for a lesser employee with lesser skills, demanding smaller compensation.

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December 21, 2022, 08:16:29 PM
 #15

This problem could have been avoided, if the trade unions had more members.
When the labor unions don't have enough members and can't protect their labor rights effectively, it becomes easier for the employers to find ways to cut down the salaries.
This is what I've noticed. If there are huge numbers of people in trade unions and if they start a protest, they'll be noticed and the company will act upon their demands.
But if the complainants aren't that much and they're just mere in numbers, they won't be noticed and will most likely be ignored whatever the demands they're asking.

Sometimes I feel glad that I'm a freelancer and I don't have a boss. Freelance has it's own downsides(which can be quite big), but being your own boss is sometimes better than being a "paid servant" for somebody, who doesn't respect you and tries to pay you less for more work.
The freelance business is full of customers, who demand more work for less pay, but at least you have the freedom to choose your long term customers and ditch the bad ones.
This is going to be the future of the working economy. But, there are also some bad sides of it and it will vary based on experiences of freelancers.

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December 21, 2022, 08:47:36 PM
 #16

Now to you the reader, supposing you have worked for the past 5 years your current organization and you find out accidentally from the HR in your organization that what you are being paid isn't the highest amount for your position. That is, you are being underpaid, would you ask for a raise or look for another job knowing that with your experience level you'd get a higher pay in another organization?
I would ask for an evaluation and review if I'm eligible for a pay raise. That normally happens every year as per evaluation depending to the company's regulation about increasing rates and promotions. And if I feel that I should leave my job and hop in to a better paying company, I'll do that. That's where the negotiation might happen if the current company you work for thinks that you shouldn't be let go. They'll negotiate with your terms and asking salary.
I think this is the way to go, a company would like to pay as little as possible to their employees, while and employee would like to be paid the most that he can get, so a compromise needs to be reached between the two parts, so as an employee it is our responsibility to always be alert and see if we can get a pay increase at our current job and if not to look for better alternatives elsewhere, that way by keeping your options open you will be able to maximize the amount of money that you are paid over the years.

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December 21, 2022, 10:23:51 PM
 #17

Read a snippet of the article here
Quote
Job seekers are learning that there’s the top end of the pay scale, and then there’s the real top end.

As more companies disclose pay ranges in job listings, especially in places like New York City and Colorado where it’s now required by law, what’s listed as the maximum salary may be closer to the middle, according to multiple human resources executives and pay experts. Some employers are trying to limit the demands of potential hires seeking top dollar, while preventing existing workers from finding out they are underpaid. Range deflation comes up often on industry webinars, but compensation specialists and some human resources chiefs worry it could backfire.

Really crazy things are happening out there. Now to you the reader, supposing you have worked for the past 5 years your current organization and you find out accidentally from the HR in your organization that what you are being paid isn't the highest amount for your position. That is, you are being underpaid, would you ask for a raise or look for another job knowing that with your experience level you'd get a higher pay in another organization?

Parts of this don't make sense, anyone can find out what their skillset is worth on average by looking at the multitude of different job sites out there. It seems like a strange law for those regions to have but in reality that is probably what companies were paying the average person recruited with exceptional cases hitting the highest in the range. Frankly if a job is advertised for $50k salary, then you would expect that to be what you'll be getting and I'd personally be avoiding companies that have wide ranges. It is a bit disappointing that you often have to move companies to get your true worth in certain professions because companies are by design going to pay you the least amount they can retain you for.

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December 22, 2022, 10:46:23 AM
 #18

Really crazy things are happening out there. Now to you the reader, supposing you have worked for the past 5 years your current organization and you find out accidentally from the HR in your organization that what you are being paid isn't the highest amount for your position. That is, you are being underpaid, would you ask for a raise or look for another job knowing that with your experience level you'd get a higher pay in another organization?
Some time ago, I was laid off work due to the recession. I already had a good number of years at the organization and had become proficient in my area of practice. I dusted up my CV and started sending it to recruiters on LinkedIn and on other platforms. Some organizations were impressed with my CV and I got a good number of calls of interviews. I got for offers for the same position and ended up picking the organization with the higher pay. I will always go for a higher pay because from experience job security is a myth.
Wow, good for you but I think if your boss didn't lay off you, you won't have an idea to look for another company right? The recession that came, must be a blessing of disguise to some because there are better opportunity that awaits them but I know not all are like that. Not all will end up in a happy ending. I feel sorry for them but these people shouldn't give up.

I hope they can find a replacement job soon even the pay isn't that high enough. What important is that they can have something to get to survive in this tough life. The last thing that you said is not a myth. A lot of people do really want a secure job as this can give them a peace of mind.

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December 22, 2022, 12:31:51 PM
 #19

It's a very tricky thing to handle! One of the KPIs of an HR personnel is how much he/she is able to save from the budget given. So it's extremely rare scenario where a candidate will be offered 100% of the budget for a certain position.

Having budget doesn't mean that everyone will be eligible to achieve that. A candidate with 5 years of experience can not ask for a salary befitting a candidate with 10 years of experience. This is applicable for certain highly skilled positions only!

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December 22, 2022, 04:25:55 PM
 #20

...supposing you have worked for the past 5 years your current organization and you find out accidentally from the HR in your organization that what you are being paid isn't the highest amount for your position. That is, you are being underpaid, would you ask for a raise or look for another job knowing that with your experience level you'd get a higher pay in another organization?
I will be devastated finding out that the company has not been entirely sincere with me, I will ask for a raise first, and then watch out to see if the management of the company I work for value my services and inputs. If they are slow to respond, that is an indication that my services are not very valued and I would immediately begin to seek out another opportunity in a place that I will be valued and paid adequately. Expenses are high and choking this period, staying in somewhere where you are underpaid is not advised.

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