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Employees of pharmaceutical business GlaxoSmithKline (GSK) have commenced a series of walkouts across the UK from today (2 May) in an ongoing dispute over pay. More than 160 employees, who are members of trade union Unite, rejected a pay offer which included a 6% increase and a one-off lump sum of £1,300. in the 12 months to February 2023.
Merit pay is a permanent increase to an employee’s base salary and tends to go hand-in-hand with regular performance reviews. For a pay raise to qualify as a merit increase, it must be performance-based and provide a permanent increase to a worker’s base salary. It’s not just a bonus, either. What is a Merit Increase? Why is that?
In the technology, engineering, and pharmaceutical fields, the task of recruiting specialists such as senior developers and data scientists can be particularly challenging as they’re heavily in demand. Sure, everyone wants a solid paycheck, but if you lead with salary, you could fail to convince candidates that the job is for them.
And sometimes a high salary cannot fix their decision to leave the company. On average, it costs them 50%-60% of an employee’s annual salary to replace this employee. I once worked at an organization, and my department worked on connecting pharmaceutical companies with government officials. You Spread Them Thin.
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