Pay Increase Budgets Hold Steady for Not-For-Profit Organizations

For more information, contact:
Michelle Willis
(800) 300-9570

Pay Increase Budgets Hold Steady for Not-For-Profit Organizations

Kansas City, Kan.— August 25, 2011 — Although the economy is still struggling to make significant strides towards recovery, small improvements are starting to become more evident. The 2011 Compensation Data Not-For-Profit survey results found pay increase budgets remained relatively stable at 1.8 percent, reflecting a slight increase from 1.7 percent in 2010. Pay increase budgets are projected to remain the same in 2012.

“There appears to be a level of cautious optimism within the industry in regard to the economy,” said Amy Kaminski, director of marketing for Compdata Surveys, the nation’s leading pay and benefit survey data provider. “Employers are taking a conservative approach, and we expect only a gradual increase over the next few years.”

Companies use pay increase budgets to make a number of different increases to their employees’ salaries. More than 60 percent of not-for-profit organizations are allocating a portion of their budget to make merit increases. Twenty-eight percent are offering promotional increases, while 22.1 percent are making market adjustments. Only 14.3 percent of survey respondents are utilizing their pay increase budget for cost of living adjustments.

The rate at which these increases are used varies by industry. Merit increases, for example, are being offered by churches and religious organizations at a rate of 61.9 percent, while 55.7 percent of colleges and universities are using them. Merit increases are being offered by government entities at a rate of 41.8 percent. The average merit increase budget reported in 2011 was 2.6 percent, with not-for-profit employers projecting a decrease in 2012 to 2.2 percent.

About the Survey
Compensation Data 2011 Not-For-Profit surveyed more than 100 industry-specific job titles and 350 benchmark titles ranging from entry-level to top executives. Data was collected from more than 400 not-for-profit employers reporting on nearly 1,300 locations across the country. The results provide a comprehensive summary of pay data, benefit information and pay practices with an effective date of March 1, 2011.

Compdata Surveys is the nation’s leading compensation and benefits survey data provider. Thousands of U.S. organizations provide data each year ensuring the reliability of our results. Compdata Surveys has been providing comprehensive data at affordable prices to organizations from coast to coast since 1988. For further information about their compensation and benefit surveys, contact Michelle Willis at (800) 300-9570.