To help you, here is our “Employee Salary Increase Letter” template in two versions – one from the employee`s supervisor and the other from HR: Before employees receive a letter of increase from an employer, they should have an in-person meeting with their supervisor (this could be a video call if they are part of a remote team). At this meeting, the manager should: This salary increase letter confirms what the employee knows about the meeting with his or her supervisor. Download the cover letter template (compatible with Google Docs and Word Online) or check out other examples below. It is best for managers to be the ones who send the augmentation letter to an employee who is part of their team. By showing appreciation to your team members, you`ll help maintain a good working relationship. HR could also send the email, although it may seem more impersonal. You can see both model versions below. It is not recommended that the manager communicate the percentage of the increase, as they usually average around 3% and it is not as motivating for a figure as the dollar amount of the increase for an employee. For example, according to the Bureau of Labor Statistics, wages and salaries rose 2.9 percent in the 12 months to September 2019.
They also increased 2.9% for the 12 months to September 2018. In this sample salary increase letter, the manager met with the employee, so the letter confirms what the employee already knows. Interaction allows the employee to ask questions. It also allows the manager to explain the company`s compensation and reward philosophy. [I have attached your new employment contract with the updated salary – please read it, sign it and send it to HR / Please come to the HR office to sign your updated contract by the end of this week.] The letter can confirm the details of the discussion, including why the employee is receiving a raise, how the manager perceives their work, and recommendations for even better performance in the future. The role of the manager in communicating the employee`s salary increase is the deciding factor. The manager must communicate why the employee is receiving the salary increase, the amount of the salary increase and where the employee`s new base salary is accordingly. As I mentioned at Tuesday`s meeting, you get that increase because you have met the goals we set for ourselves this year. In addition, your contribution has increased as you focus on developing your leadership skills.
The letter reinforces the discussion the manager had with the employee when the employee learned of the increase. The letter serves to highlight the employee`s positive contributions to the workplace. The company name is pleased to offer you a compensation increase for your current position, contract position title, to insert the dollar amount of the increase annually. We are pleased to attribute this increase based on your performance over the last period under review and believe it will inspire you to continue striving to achieve our business goals in the future. I would like to confirm the [10%] salary increase that we discussed. This increases your annual gross salary from [$70,000] to [$77,000]. Your salary will be paid on [1. September] officially updated, so you`ll see the increase on your paycheck [September]. This letter is your official announcement that your base salary will increase from $55,000.00 to $56,760.00 effective January 1.
Check with Human Resources to see how much your paycheck will be based on the deductions you choose and other choices. This is a well-deserved increase. I would like to thank you personally for all this, but also for your unwavering loyalty and commitment to the success of our company. It`s appreciated. The purpose of this letter is to offer a pat on the back, reinforce the behaviors you want to see more and provide positive information about the increase. List all the standard or general benefits that the offer includes (health, vacation, etc.). List any additional incentives, e.B. Stock options, profit sharing or other grants or warrants that may require explanation or qualification. Add acquisition requirements, but there is no need to go into detail unless that employee`s compensation is not standardized or may not easily fall within the definitions in your personnel manual.
Include any additional obligations or expectations that may accompany this increase in remuneration. As you can see, the letter amplifies the employee`s contributions. He thanks the employee for her contributions and commitment and focuses on specific actions that are appreciated. This reinforces with the employee the actions you want to see in the future. After this meeting, you can adjust a sample increase letter to give employees confirmation of the salary increase being discussed. The format of this letter should be simple and positive, containing all the important information about the new salary and reaffirming the appreciation expressed during the session. Occasionally, an updated contract may be attached for the employee to sign. A letter or email from an employee`s supervisor is an effective way to communicate a raise. Especially if the note complements a salary increase interview with the employee`s supervisor, which must always be accompanied by a salary increase, the letter is an effective communication tool. If there are areas that require improvement that would make the employee`s contribution even more important, the manager should mention them at the meeting.
After receiving a raise, the employee is open to suggestions for improvement. This is especially true if the improvements allow the employee to benefit from a larger salary increase in the next benefit period. It is highly recommended that the discussion of the increase focus on the strengths and contributions for which the organization rewards the employee with the increase. The meeting is also a great opportunity for the manager to discuss with the employee what they hope to gain from the employee`s performance over the next year. The letter is the written documentation of the salary increase interview. Employees receive these letters and feel appreciated. The letter adds to their sense of pride in their achievements. Employees appreciate these letters and keep them for years.
Use this augmentation letter to the employee to officially inform them that their salary will change and show your appreciation for their work. The purpose of this notice is to notify you of an increase in [salary]] benefits of [dollar amount or as a percentage of your base salary]. The effective date of this increase is [date] and the salary increase will be displayed on your paycheque from [date]. Few employees fully understand the company`s basic information about reward strategies and philosophy. In addition, employees do not understand how much base salary, benefits and variable compensation such as bonuses cost the employer or how they support the company`s compensation philosophy. The manager plays a role in informing employees about the company`s compensation philosophy. For example, all increases are increases in earnings. SignatureReginald Lee, ManagerTerry Lee, Department Manager Workable is an all-in-one recruitment software. Find and evaluate candidates, track candidates, and collaborate with your hiring teams.
Please sign below to express your agreement to the above changes and return this document to Human Resources. If you have any questions, feel free to call me directly at the phone number or send me an email at the email address. ACCEPTS AND ACCEPTS from the date written above. . Rhonda RodriguezAcme Electronics123 Main Street Anytown, CA 12345 They were also able to add social media and word of mouth elements to the actual product, which is a new strategy for our company. They are currently collecting data and measuring the success of the campaign, which is also a first for our marketing group. If you are an HR professional, you should encourage the manager to hold this meeting with their team member. This is not the time to mention areas where you hope for improvement. Your management notes allow you to reinforce these areas over time with the employee, especially during your weekly one-on-one meetings. Bureau of Labour Statistics. “Employment Cost Index, September 2019”.
Retrieved 13 December 2019. Please come to my office to sign your updated contract by the end of this week. [If you can`t come, I`ll email you the new contract and you can print, sign and scan it to send back to me.] . . .