New Delhi : The dynamic landscape of the global job market has witnessed numerous trends over the years, ranging from remote work to shared office spaces. Now, there’s a new trend quietly gaining traction – “dry promotion”.
Dry promotion refers to the practice of granting employees a job promotion without an increase in salary. Essentially, this means that although your job title changes, your workload and responsibilities increase without any corresponding raise in pay.
According to a recent report by compensation consultant Pearl Meyer, more than 13% of employers have opted to give their employees new job titles without a corresponding salary increase. This percentage has risen from 8% in 2018, as reported by The Wall Street Journal.
Furthermore, a survey of 900 companies conducted by benefits-advisory firm Mercer revealed that more employers are allocating a smaller portion of their 2024 salary budgets for promotion-related salary increases compared to 2023.
While most employees are not enthusiastic about this trend, experts view it as a reflection of the declining bargaining power of the average worker. Dry promotions tend to become more prevalent during times of economic uncertainty, with companies focusing on cost-cutting measures.
In the past, companies facing labor shortages often had to offer substantial raises to retain employees. However, the trend of dry promotions has emerged at a time when some employers are redistributing the responsibilities of laid-off workers to existing staff members without increasing their compensation.
Evidence of this trend can also be found on social media, where several employees have shared their experiences with such offers. For instance, in a Reddit post from last year, a user recounted how their manager informed them that due to their increased responsibilities, the company had decided to eliminate their junior title. However, when asked about a salary adjustment, they were told it would remain unchanged for the year.
Some users offered advice, suggesting that a better title without additional money could aid in finding a better job elsewhere. Others noted that companies, low on resources, are redistributing responsibilities among existing employees rather than hiring for open positions.
One user emphasized that the salary increase is the true recognition, advising that seeking opportunities elsewhere might be the path to substantial salary growth.
For those not in a position to seek new employment, suggestions included requesting flexible working hours, additional paid time off, or enhanced benefits to offset the lack of a raise.
