Over 80% of Employees Have Their Salary ‘Announced’ Rather than ‘Negotiated’

Salary is a constant concern for many employees, but it’s also a difficult topic to discuss, even with close friends and colleagues. How much did employees receive in salary increases last year, and how much do they expect this year?

According to the Work : Salary Edition report, a survey of 1,300 people conducted by HR tech company Wanted Lab, almost half of respondents (45.2%) earn between $22,500 and $37,500 (KRW 30 million to 50 million). Specifically, $30,000 to $37,500 (KRW 40 million to 50 million) (22.9%) and $22,500 to $30,000 (KRW 30 million to 40 million) (22.3%). This was followed by $37,500 to $45,000 (KRW 50 million to 60 million) (14.6%), $45,000 to $52,500 (KRW 60 million to 70 million) (11%) and $52,500 to $60,000 (KRW 70 million to 80 million) (9.6%).

More than 70% of respondents felt that their current salary was inadequate. Of these, 18.9% said they were very underpaid. On the other hand, 25.7% of respondents said their current salary was about right and 2.2% said it was slightly too high.

When asked about the impact of salary on job satisfaction, 66.2% of respondents said it had a very great impact and 16% said it had the greatest impact. Only 1% said their salary had no impact on their work life.

Looking ahead to salary growth in 2023, almost half of respondents saw their salary increasing by less than the 3.6% inflation forecast for 2023. 26.6% saw an increase of between 1% and 3%, while 19.5% saw a freeze. The tough economic conditions are reflected in the pay rises that employees are receiving.

When asked what salary increases they expect to receive in 2024 compared to 2023, more than half (53.5%) said they expect to receive similar increases to 2023. Given the results of the 2023 salary increase survey, it’s safe to assume that people are expecting salary increases of up to 3%. In contrast, only 15.7% of respondents expect salary increases in 2024 to be better than in 2023.

When it comes to the inflation rate, the minimum salary increase expected by employees is between 4% and 6% (34.7%). This was followed by 7% or more to 9% or less (30.1%), 10% or more (26.4%), 1% or more to 3% or less (5.6%) and the same (3.2%).