How do you ask for a pay raise if you think you are paid below market rate?

I am currently 1 year + into my job and I realised that what I was offered when I accepted the offer was actually below market rate (based on graduate employment survey).

I was offered the job during the height of the pandemic around mid last year so I was really glad that I was given a job offer when everybody else struggling to get a job. When I was asked what was my expected pay during the interview, I quoted an amount based on what a senior told me about 3 years ago when I was an intern. I was also afraid to ask for a higher amount because of the pandemic situation and I was afraid that they'll not hire me if my asking pay was above what they could afford. Looking back, I realised that I should have negotiated for a higher pay as I realised the pay I got was below the "market rate" based on the graduate employment survey.

Now that I am 1 year + into the job, and the company is doing well (the company is an MNC), how should I ask for a pay raise to at least match the market rate?

Discussion (13)

What are your thoughts?

Learn how to style your text

Cuthbert Yeo

30 Aug 2021

Always look from both angles of a bottom up and top down approach. Ask yourself if you had proven your worth and of assistance during times of need. Has work processes improved? Has there been change innovation been implemented whereby you had value add to your company at least in your department level?

Save

1M45

Edited 27 Aug 2021

Just change company.

Save

Val

Edited 27 Aug 2021

Marketing at SMU

I would recommend that you find out the metrics required for promotion. Some companies require a certain performance level during annual review before a person can be reviewed for promotion. For example, my company (also an MNC) requires a two year track record of good performance (4.0/5.0) for a person to be considered for promotion.

Try to bring up this conversation with your direct superior, or a Manager you are on good terms with. Most likely they are able to give you more details. Additionally, this would also let them know that you are expecting a promotion in the near future. Try to make your work contribution more salient during meetings as well, so that upper management can see your competency clearly.

Lastly, if you're not particularly attached to this company, a great way to bump your pay is to switch companies as well.

Save

damien

27 Aug 2021

You can politely ask for a pay raise, however, as far as i know, pay raise has a budget for the whole department and is whly dependent on your performance. If you have an exceptionla performance and is valued by your bosses, by all emans, go ahead to ask politely. however, if it is still not fulfilled, ask for a timeline on when you can expect to see an improvement. Worse come to worse, you got to change job in order to get the jump in salary.

However, do not assess the job just based on salary, do consider development opportunities and work life balance. decide which is the important criteris for yourselves and work towards it.

Save