When increases are decided by employees

When increases are decided by employees

It's rare but there are employers who let employees decide on increases. What are the modalities? What are the benefits?

                                  At Lucca, everyone has a voice in compensation

At this software company, the increases take place once a year in January. As in many companies, employees can defend their demand . But here, it happens in a plenary meeting and employees always have the last word. A system of cross-evaluation between the employees and their manager first results in a score between A + and D.

"With this data, employees with at least three years of seniority are invited to meetings of about 25 people where they specify their current remuneration, their desire to increase and argue . Then everyone around the table issues an opinion on the request. Either it seems justified to them, or one emits reservations ", details Vincent Porcel, marketing director and product manager at Lucca.

The more shy (or the less courageous, it is according to) can put reserves a posteriori with the RH. If a majority comes out in favor of the request, the increase is granted. Otherwise opens a second round of trading 10 days later. "  We then exchange on the reserves and we hear any counterproposals of the collaborator. He can also camp on his first intention, it will be granted anyway.

 But if he is too greedy, he puts pressure on himself. That's why people are generally reasonable, "he observes. In 2016, increases averaged 5%. "We are between responsible and reasonable adults. The goal is to create mutual trust. We know everyone's wages, but if we do not agree, we can express it . This transparency makes it possible to deflate the tensions that could arise on the subject,  "he adds, convinced that this process is beneficial for everyone but also for the company. At Lucca, the turnover of 8% seems to attest a certain loyalty of the workforce. In computer science, this rate generally oscillates between 15 and 30%.

                                    At Web Atrio, a salary committee is elected

In this SME specializing in the development of websites and applications, it is the employees who agree each year on the amount of the increases in consultants (about 60 people). For that, the management delegates the subject to a committee of wages. Composed of 3 employees , elected by the others and volunteers (that is to say that even the elected can decline the mission), this body receives individually each consultant who expresses his wish for increase.

"To decide, we rely on a salary grid defined in consultation with employees . So many years of seniority open for example right to so many euros of increase. Same for the diploma, this or that competence... And this year, we added criteria such as the degree of mobility of employees, the customer satisfaction rate, etc.

Each new criterion was discussed and approved in plenary by the collaborators ", explains Arnaud Robinet, project manager at Web Atrio and new elected member of the salary committee. An Excel spreadsheet is also available online so that everyone can simulate their new salary upstream according to the level of increase requested. "It is the committee that decides on the final increase, obviously taking into account the envelope allocated by management.

Unless otherwise, the latter does not intervene in the final choice to grant such or such level of increase, "he says. For the moment this configuration seems both suitable for management and employees who remain reasonable. Last year, 35 out of 45 employees took advantage of the 70,000 euros allocated for increases. An average increase of 6.7%.

 " Employees seem satisfied with this transparency. They understand that they are not mere performers but that they also have a voice. This makes them more responsible, more autonomous and creates a favorable working environment, "concludes Arnaud Robinet. It remains to be seen whether this system can be sustainable in the event of strong growth in the company's workforce . The committee is considering the election of additional members and / or a review of the system of increases, perhaps more collective. To be continued.