How to react if I get a bad pay rise/bonus?

[Anonymous]

I'm paid well
But I was told this year not to expect much in my pay review
I work hard. I'm paid well.
At my age, in my industry, tech
I don't want to be looking for another job☹️

[Jersey2]

Tech is going through some things as you know with AI coming. First, there is guidance on what the pay raises will be across the company. They will let managers know if it is 1.5% or something else. See if you are at or below that when they give you the raise.

Same is true for a bonus. Your role may have a 10% bonus as an example. But the company didn’t do well or your division didn’t do well, so it could be lower this year. Then there is your own performance which can affect it. There is a formula like: Company x Performance Goals + Division x Performance Goals + Individual x Performance Goals = Bonus amount

So if the bonus is 100% funded at the company and division levels then your personal -performance may not be where they want it so ask but they should have already told you beforehand that you weren’t where you needed to be.

But, it could also be other factors such as there were more high performers this year and not enough low performers to even things out in the budget. So if someone got a 12% bonus then someone else may have gotten an 8% bonus… and for no other reason than it had to come from somewhere.

With that as background, be professional in the discussion. Ask if the bonuses were “fully funded” this year. Ask if it was the company or division level performance or your own performance that made it lower. If it was you, ask why and what you can do better. Same conversation if it was a low increase on base salary. Be cool, but if this was a surprise let them know you wish you knew sooner so you could correct it. Be an adult though. Then go home and think about it. Buckle down, or do an internal transfer once they are happy again or they will trash you, or get the resume out.

[uzumymw]

If you don't want to look for another job, the best reaction is nothing. If you feel confident enough you won't get fired for asking for one, start by asking your supervisor if there is anything you can do to deserve a raise.

Were you told to not expect much because of performance, or because of company issues?

[Asker]

Company issues
We are completing a merger with the parent company
And they are stricter... So he says
Supervisor says my contribution, because I'm not coding so much is not appreciated by parent company

Which I don't really believe

I think it's just high up prejudice being targeted at me

And what can I do? Just accept it

Because I'm no longer cutting edge
I'm no longer so that interested in coding
I'm happy to go in,
pass the time,
go home
and get paid

[uzumymw]

It's always tough with coding! When companies don't understand it's not all about number of lines.
You might have to look for another job if you do want the pay you deserve.

Have you thought about a side gig? There are a lot of people looking for quality code. Some need applications fixed that were made from vibe-coding.

[truthteller234]

If you get a bad bonus, it just means your boss personally doesn't like you or doesn't value you. Unfortunately, you can't force someone to give you a better bonus.

[Asker]

I think so
And he told me in person ahead of time
To set expectations
There are a number of possibilities
It could be they think I'm already paid enough
It could be someone higher up the chain made the decision
But it could be exactly what you say
They had a meeting and agreed who was getting the least and it was me

[truthteller234]

bonuses are voluntary meaning that it is a personal decision of your higher ups. Usually your supervisor. there is no set rule where they must give you a certain amount. its entirely due to how they feel about you. Or there could be someone else that they found they value more... so someone else got a bigger bonus so now you get less.

[Asker]

Agreed

It remains to me seen what I get
But they are saying, the rules of the parent company mean I'm getting less this year

[Asker]

But the question is:
How should I react when I get a poor bonus?

Smile and say nothing?

[truthteller234]

@Asker

if you demand or insist or beg, you will just annoy them. Then they just won't like you.

If I were you, I'd try to find out why I'm getting the smallest bonus in the group.

Depending on the reason, I might not stay.

be lucky you get a bonus, there are many fields out there where there are no bonuses. Don't act like you are entitled to everything.

[Asker]

I don't feel entitled

They already said... The parent company has strict rules such that
Only coding is valued
And I'm not coding so much anymore
My effort is still valued
Just not as much

I can accept what they are saying
It's annoying
But I need the job

[truthteller234]

well then thats less personal. then that's more ok. For me, I personally wouldn't stay at a place where I'm the least valued or least respected.

is AI taking over coding now?

[Asker]

I'm using AI
It's very powerful
I'm only learning
And I'm not too excited
I might be if I was younger

[Anonymous]

You must be in America to be asking this.

Pity.

[blackeagle007]

The affordability here is awful

[AI Opinion]

It's understandable to feel disheartened by a less-than-expected pay rise. Consider opening a dialogue with your manager to understand the reasons behind this decision. Emphasize your achievements and discuss your career goals within the company. Explore opportunities for growth that don't necessarily involve immediate financial rewards, such as taking on more responsibilities or participating in valuable projects. Focus on the value you bring and seek feedback on areas for improvement. This proactive approach can help strengthen your position for future reviews and demonstrate your commitment to the company.

[genericname85]

honestly i personally do it passive aggressively and scale down the ammount i work according to the pay they offer. like if they want the 100% effort package, they gotta pay for that optional service.

[Asker]

Good point

And I did that before

But the thing is, they will win in the end

My not performing, going sick they will find a way to eliminate me

[genericname85]

so what? let them eliminate you. then you don't have to think long and hard about whether or not you wanna quit. i mean i personally highly prefer that cause where i live, there's unemployment welfare and you won't get that if you're the one that quits. so i'll let them fire me.

[Asker]

Well I never claimed unemployment
And with tax I probably get nothing
I mean I'm happy to take whatever they say
Because it would cost me more than them if I got let go

But I can keep something up my sleeve, let's say there's an outage some Saturday and they need me... I might not be available
And I'll just say "terrible sorry I didn't see the phone call"

My plan is to retire in 4.5 years
And I need the money
And the cushy number until then

[genericname85]

I mean if the lower income doesn't mess up your retirement plan, just not giving a shit and doing the 4 years will probably be fine. But you could still re negotiate.

[Asker]

Yes
Well put
The pay rise doesn't affect my retirement.
Losing my job definitely would.
That's it in a nutshell

They are disincentivising me... Less work by me
I don't want them to know that

[genericname85]

i guess they know people that age will likely not be able to easily find another job just for a few years. real scummy of them to drag down your payment like that probably calculating the risk of you actually leaving.

[Asker]

That's good point

I think as well I'm on the top of the scale

So they can't give me any more

That's something was said a year ago

You don't know who to believe

[genericname85]

Yeah employers always say that. Cause they wanna stuff more money in their own pocket.

[Asker]

Exactly
One person said that
Then I checked with his boss
He said no
Then I went back to the original person who said it
And he said oh no that's not the case
So they were backtracking

[genericname85]

yeah well in companies nobody is ever accountable for anyhting. everyone shifts the blame to the next and make you run around like an idiot untill you realize, nobody is accountable untill "maybe" you sue them but you're not gonna do that and they know it cause you're not unhappy enough about things yet xD it's a perfidious business.

[Asker]

Nobody is irreplaceable🙂

[genericname85]

True but new hiring is always more expensive than keeping an employee.

[Summeroflove]

The only better option is to stick it out if you’re not wanting to go back looking for a new job.

[AviatorTom]

You can always have a calm discussion with your boss.

[Asker]

Theoretically
But let's be realistic
You meeting naive

[Asker]

Being naive

[AviatorTom]

In my long career, I never had any problem discussing things with my boss. I had many bosses, both male and female, and we had several discussions... some about raises and my performance.

[Asker]

Maybe you are more trusting

I'm not

They give me zero bonus and I will hate them
Forever

[AviatorTom]

It has nothing to do with trust. If you are unhappy, your boss should know that. Management wants happy employees because happy employees are more productive and more supportive of company policies. They can't do anything to make you happy if you don't tell them.

[Asker]

Yes but it's an annual thing
And this year I'm getting say 1%

Let's say objectively it's because I'm overpaid and they need to get my total pay in line with my contribution

I'm happy with my overall pay

I'm just not happy with getting 1% bonus

If I complain about the bonus
I'm jeopardizing my entire job

[Asker]

You are suggesting I look for an explanation for why I'm getting 1%
But they already have be the explanation, they're saying by "coding" contribution is not up to scratch which I agree with because I'm the old dog and the be guys are better

But my contribution otherwise it's excellent

So it just depends what they prioritize

[Smegskull]

If my pay doesn't match inflation I just list my LinkedIn profile as looking for work and start using my holidays for interviews.

[In_Trance]

Wdym bad?

[Asker]

Like less than 2% annual raise
And maybe 2% bonus

Or worse, 0% raise
2% bonus

[In_Trance]

Is it stated in your letter of employment that you were to get a higher percentage annual raise?

[Asker]

Hmmmm
No
It's performance

[In_Trance]

What does your employment agreement state regarding performance?

[Asker]

What is this?
The legal angle?

[In_Trance]

The legal angle? I don't follow.
Are you saying there's a legality around giving you an increase every year?