New data shows that despite the weak economic outlook, South Africans still expect a decent raise and bonus in 2016 – well above the international average.
According to a survey conducted by CEB, a best practice insight and technology company, on average, employees in South Africa expect a 6.9% increase in base pay and a 5.1% increase in bonus pay this year.
By comparison, the international average for an expected pay increase is 4.1%, while the average expected bonus payout is 1.8%.
South Africa continues to be one of the hardest-working nations. It ranks fifth out of 40 countries surveyed by CEB with over three-in-10 (31.6%) employees going above and beyond in their roles.
This is almost double the international average of 17.2%, which dipped to a four-year low this quarter.
While other countries have seen a drop in the number of employees putting in extra effort, levels in South Africa have risen by 4.6% over the previous year, bucking the downward global trend.
Employees in South Africa are least satisfied with retirement benefits and most satisfied with vacation, CEB said.
- 38.6% are happy with their allotted vacation
- 32% are satisfied with their compensation
- 31.6% are satisfied with health benefits
- 27.8% are satisfied with retirement benefits
Recent data published in the BankservAfrica Disposable Salary Index (BDSI) has shown that formal sector workers in SA have over the past four years managed to keep up with inflation rates.
Economist.co.za’s Mike Schüssler said that those fortunate enough to have jobs have been able to stay financially afloat.
“They haven’t beaten inflation, they have kept up with it. That means they have been able to maintain their lifestyle. Whether that lifestyle was for a lower end worker a ‘survival’ type of lifestyle or for the middle class a comfortable lifestyle….by comfortable I mean you can pay your water and lights, bond, car, put food on the table and you have some extra left over for a braai.”
South Africa’s inflation rate is currently at 6.1%, while the International Monetary Fund cut South Africa’s growth outlook for 2016 to just 0.1% – earlier in July.
A salary trends survey conducted at the end of last year by ECA International, found that companies in South Africa forecast 6.9% pay rises for staff in 2016.
According to company predictions from around the globe, wages will rise 5.1% on average in 2016, slightly up from 5% in 2015.
Source: Business Tech