Changing job is still the most preferred strategy for employees seeking to increase income

Employees who feel underpaid are much more likely to look for a new, better-paid job as the most viable/acceptable way to increase their income. This option is favoured by 65%, i.e. the majority, of employees who regard their income as inadequate with regard to their job position. This is the result of the current international Paylab survey.

Other options, such as initiating a pay discussion and negotiating a pay rise with their boss, would be chosen by considerably fewer people - only 35% of underpaid employees. A fifth of underpaid employees would choose to communicate their willingness for career advancement with the same employer. About 16% of employees would try to find a side job to increase income. 14% of employees would consider starting their own business.

Interestingly, the survey found that employees who assessed their earnings as adequate have a much greater tendency to stay with their current employer. Compared to people who feel underpaid, they are more likely to choose career progression to a higher position, or further education as part of their income-increasing strategy. Another option preferred by employees with more appropriate remuneration is working more shifts or hours as part of the current job.

These findings are the result of the international Salary Satisfaction and Preferences Survey, which was conducted in November and December 2017 on a sample of 34,065 respondents with real salary in 10 European countries. The survey is part of the Paylab Compensation Monitor, which regularly monitors remuneration and labour market trends. Read more about how employees perceive their salary.

Employers are more concerned with employee remuneration strategy

Finding a better-paid job is clearly the most preferred way to increase income in all countries that participated in the survey. Half of employees in Central and Southern Europe, as well as in the Baltics and Finland would choose this strategy. For employers, it is a signal that regular salary reassessment can greatly reduce the chances of employees leaving. Companies that take employee remuneration seriously can monitor remuneration trends through Paylab's current salary reports.

Salary negotiations are challenging for both employees and employers

Approximately a third of employees in Central Europe and the Baltics, and 38% of employees in Finland, would initiate pay negotiations as an acceptable way to achieve a pay rise. Tips on how to approach a pay rise can be found in Paylab blog article. Since pay negotiations are challenging to prepare and argue, employees often use an anonymous online service to compare salaries for a specific position and specific region. Paylab has also prepared a series of videos for employees with guides on how to negotiate salary and working conditions.

How to increase income salary paylab

About the survey

An international Salary Satisfaction and Preferences Survey was conducted in 10 countries across Europe on a total sample of 34,065 respondents with real salary. It is part of the Paylab Compensation Monitor, which regularly monitors trends in employee preferences and remuneration in Europe. Data collection was conducted in November and December 2017 through localised salary portals: the Czech Republic - (5778 respondents), Slovakia - (6462 respondents), Hungary - (3528 respondents), Slovenia - (2629 respondents), Croatia - (3172 respondents), Serbia - (735 respondents), Estonia - (1268 respondents), Lithuania - (2371 respondents), Latvia - (1433 respondents), Finland - (6689 respondents).

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News reporting

Gender Gap: Only 6% of working women ranked among the best paid employees

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A higher salary continues to be the most important driver for changing jobs

The most important criteria for employees when choosing a new job is clearly a better salary compared to what they currently earn. More money and financial benefits are the deciding factors for 63 per cent of employees when choosing between different jobs. A higher salary is the key criterion in up to three quarters of all cases involving those feeling underpaid. An attractive job description is the second most important factor considered when making a career change decision. More engaging work is a strong motivating factor for change for those who are satisfied with their current salary. This is associated with the third strongest criterion, an inspiring and stimulating environment, where an employee can make the most of their knowledge and skills.