Media Contact: Heather Nezich, ASE, 248.223.8040, hnezich@aseonline.org
Troy, MI – February 3, 2025 --- A recent ASE Pulse Survey highlights a cautious stance among employers toward salary adjustments in the current economic environment. While most organizations plan increases similar to those in 2024, a notable portion are considering smaller adjustments, and many remain undecided about their strategy.
Conducted as a follow-up to the 2024 Salary Budget Survey, the data reveals that among organizations that have finalized their 2025 increase budgets, 63% plan adjustments comparable to their budgeted or actual increases in 2024, while 28% expect lower increases. Additionally, slightly more than 70% of respondents have yet to finalize their 2025 salary increase budgets.
These findings reflect a measured and cautious approach by employers as they navigate an evolving economic landscape, demonstrating an even greater sense of prudence compared to data collected last year.
Highlights of the Salary Budget Pulse Survey include:
- Actual Total Base Pay Increases (i.e., any combination of merit, general or other increases) for 2024 were:
- 3.8% (Non-exempt, Hourly, Nonunion)
- 3.5% (Non-exempt, Salaried)
- 3.8% (Exempt, Salaried)
- 4.2% (Officers/Executives)
- Average Projected Total Base Pay Increases for 2025 are:
- 3.4% (Non-exempt, Hourly, Nonunion)
- 3.4% (Non-exempt, Salaried)
- 3.5% (Exempt, Salaried)
- 3.6% (Officers/Executives)
The survey results were announced by ASE President & CEO Mary E. Corrado, “While salary increases are still on the table for 2025, employers are taking a more cautious approach, with the majority planning adjustments similar to 2024, and some even reducing their initially projected increases. This reflects a dynamic economic landscape where maintaining a steady course is prioritized over aggressive compensation changes.”
This survey is available for ASE Members in the ASE Survey Library. Non-members can request a copy.
Background information on the ASE Salary Budget Pulse Survey:
175 organizations based in Michigan participated. Organizations with 1-100 employees made up nearly 49% of the survey sample, while organizations with between 101-499 employees represented approximately 34% of the sample. The remaining 17% of the sample came from organizations with 500 or more employees. A variety of industries have been represented in the survey, with durable goods manufacturing (48.6%) leading the pack. Trades and services (17.7%) was the second-largest industry representation.
About ASE
ASE is employers trusted partner for Everything HR. ASE is a non-profit, membership organization – everything we do is based on the needs of members and to drive the success of their organizations and help them THRIVE. ASE strengthens organization's HR departments by offering member benefits and discounted services that span the entire employee lifecycle including recruitment, development, and retention while minimizing compliance risk. We provide our members guidance through new legislation and workplace issues. Learn more about ASE at www.aseonline.org.
