Raises Are Becoming Targeted | Oakland News

Oakland News Today | 2 Min News | The Daily News Now! · Aug 4, 2026 · 1m

Companies are ditching the old “everyone gets a little something” raise model in favor of targeted payouts that reward top performers. With flat or shrinking compensation budgets, businesses are strategically investing in high-impact employees—meaning standout workers may see bigger raises while others get less. This performance-driven approach can boost motivation but risks creating tension if not managed well. Next year’s average base pay hike is projected at 3.5%, barely keeping up with inflation, though some sectors like aerospace and defense plan higher increases while telecoms may lag…