More Women Received Raises in 2018 Than Men - But There's a Catch
A new report by GOBankingRates found that only 30 percent of employees received a raise this year, and a higher proportion were women
LOS ANGELES, Dec. 13, 2018 /PRNewswire/ -- Despite economists' predictions that low unemployment and high wage growth would lead to pay raises for Americans, a survey from personal finance website GOBankingRates revealed that most employees (70 percent) did not receive a bump in pay in 2018.
The survey, which sought to uncover if Americans are benefiting from the strong labor market, revealed that more women received raises than men this year. Yet it represents only a small step toward closing the gender wage gap.
"The survey results show that women got raises at a slightly higher rate than men," said Cameron Huddleston, GOBankingRates' Life + Money Columnist. "But that doesn't mean the gender gap is closing because the pay raises women got were smaller than what men got, on average."
To view the full survey, visit: https://www.gobankingrates.com/making-money/economy/women-paid-more-gap-still-not-closed/
"Our survey shows that, clearly, many Americans are not feeling the effects of a strong labor market," said Huddleston. "The majority of respondents did not get a raise, and more than half of those who didn't get a raise don't expect to get one before the year ends."
Here is a full breakdown of Americans who received a raise in 2018 by age:
Americans Who Received a Raise in 2018 | ||
% of Respondents Who Received a Raise | Average Raise | |
Ages 18-24, Post-Millennial/Gen Z | 33% | 26% |
Ages 25-34, Millennials | 38% | 27% |
Ages 35-44, Younger Gen X | 40% | 33% |
Ages 45-54, Older Gen X | 31% | 14% |
Ages 55-64, Younger Baby Boomers | 28% | 14% |
Ages 65+, Older Baby Boomers | 13% | 22% |
Women | 30% | 22% |
Men | 28% | 23% |
Overall | 30% | 23% |
Respondents were asked, "So far in 2018, did you receive a raise or compensation increase at your current job?" | ||
Why Americans Received Raises in 2018 | |
Reasons | % of Americans Who Chose Each Reason |
I accomplished or exceeded goals/expectations | 23% |
My company gives out raises to account for cost-of-living increases | 17% |
I had a great attitude and/or worked well with team members | 14% |
I willingly took on more responsibilities and ownership | 12% |
I consistently completed my work on time | 11% |
I made a positive impact on my company's bottom line | 10% |
I grew in my role and became more independent | 9% |
I had strong negotiating skills | 4% |
Respondents who received a raised were asked to please explain why they think they received this raise. | |
Additional Insights
- Thirty percent of baby boomers who received a pay raise said that increases in cost of living prompted their employers to give raises. In a separate report, GOBankingRates found that inflation rates are far outpacing wage growth, making it difficult for employees to reap the benefits of a strong labor market.
- Employers were most likely to give a raise if employees had 'accomplished or exceeded goals and expectations.'
- Of those who did not receive a raise, one in three will look for a new job in 2019.
About GOBankingRates
GOBankingRates.com is a personal finance news and features website dedicated to helping visitors live a richer life. From tips on saving money, to investing for retirement or finding a good interest rate, GOBankingRates helps turn financial goals into milestones and money dreams into realities. Its content is regularly featured on top-tier media outlets, including MSN, MONEY, AOL Finance, CBS MoneyWatch, Business Insider and dozens of others. GOBankingRates specializes in connecting consumers with the financial institutions and products that best match their needs. Start your journey toward a rich mind and full wallet with us here.
Contact
Natalie Richter, Media Relations
GOBankingRates.com
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SOURCE GOBankingRates
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