U.S. Workers Should See Above-Average Wage Hike

Photo (cc) by free pictures of money

Workers across the globe are projected to get a larger pay increase next year than they have received in any of the past three years.

Real wages will increase by an average of 2.5 percent worldwide, according to the 2016 salary forecast of Korn Ferry Hay Group.

The international human resources firm attributes this relatively high increase in real wages to salary increases and historically low inflation.

“Real wages” refers to salary increases after accounting for inflation.

Workers in the United States, for example, are projected to see an average real-wage increase of 2.7 percent next year. That figure reflects a projected salary increase of 3 percent and a projected inflation rate of 0.3 percent.

The highest average real-wage increase predicted for 2016 is that of the Middle Eastern nation of Lebanon — 11.5 percent — followed by those of three Asian countries.

Asia as a whole is expected to see the highest average real-wage increase of any region in the world, 4.2 percent.

Even China, which experienced an economic slowdown that shook stock markets worldwide this year, is expected to see the third-highest average real-wage increase next year, 6.3 percent.

The countries expected to see average real-wage increases of at least 5 percent are:

  • Lebanon: 11.5 percent
  • Vietnam: 7.3 percent
  • China: 6.3 percent
  • Thailand: 6.1 percent
  • Dominican Republic: 5.4 percent
  • Romania: 5.4 percent
  • Jordan: 5.3 percent
  • Philippines: 5.2 percent
  • Lithuania: 5 percent

Korn Ferry Hay Group’s salary forecasts are based on data for more than 20 million workers in 24,000 organizations across more than 110 countries. Its inflation forecasts are based on those of the Economist Intelligence Unit.

Of the dozens of countries included in Korn Ferry Hay Group’s analysis, only five are expected to see a decrease in their average real wages:

  • Venezuela: -52.6 percent
  • Ukraine: -36.8 percent
  • Russia: -7.5 percent
  • Brazil: -1.2 percent
  • Egypt: -0.4 percent

Are you surprised by which countries are projected to see the highest real-wage increases? Share your thoughts below or on our Facebook page.

Disclosure: The information you read here is always objective. However, we sometimes receive compensation when you click links within our stories.

Read Next
19 Purchases That Buyers Almost Always Regret
19 Purchases That Buyers Almost Always Regret

Think twice before buying these things.

15 of the Most Outrageously Overpriced Products
15 of the Most Outrageously Overpriced Products

Retailers mark up products by hundreds of times their cost — but you don’t have to pay the premium.

8 Retailers That Offer Free Prescription Drug Delivery
8 Retailers That Offer Free Prescription Drug Delivery

You won’t have to leave the safety of home to get prescriptions if you use these pharmacies.

7 Mistakes Guaranteed to Ruin Your Retirement
7 Mistakes Guaranteed to Ruin Your Retirement

Make even one of these money mistakes, and you’ll probably end up eating ramen noodles in your golden years.

17 Home Upgrades That Rarely Help Close a Sale
17 Home Upgrades That Rarely Help Close a Sale

Real estate agents give these renovations low marks when it comes to helping sell homes.

View this page without ads

Help us produce more money-saving articles and videos by subscribing to a membership.

Get Started

Most Popular
9 Things You’ll Never See at Costco Again
9 Things You’ll Never See at Costco Again

The warehouse store offers an enormous selection, but these products aren’t coming back.

11 Things Retirees Should Always Buy at Costco
11 Things Retirees Should Always Buy at Costco

This leader in bulk shopping is a great place to find discounts in the fixed-income years.

Over 50? The CDC Says You Need These 4 Vaccines
Over 50? The CDC Says You Need These 4 Vaccines

Fall is the time to schedule vaccines that can keep you healthy — and even save your life.

11 Senior Discounts for Anyone Age 55 or Older
11 Senior Discounts for Anyone Age 55 or Older

There is no need to wait until you’re 65 to take advantage of so-called “senior” discounts.

11 Household Items That Go Bad — or Become Dangerous
11 Household Items That Go Bad — or Become Dangerous

When you get the impulse to stockpile these everyday items, pay close attention to their expiration dates.

8 Things You Can Get for Free at Pharmacies
8 Things You Can Get for Free at Pharmacies

In this age of higher-priced drugs and complex health care systems, a trip to the pharmacy can spark worry. Freebies sure do help.

These Are the 4 Best Medicare Advantage Plans for 2020
These Are the 4 Best Medicare Advantage Plans for 2020

Medicare Advantage customers themselves rate these plans highest.

7 Ways to Boost Your Credit Score Fast
7 Ways to Boost Your Credit Score Fast

Your financial security might soon depend upon the strength of your credit score.

The 10 Most Commonly Stolen Vehicles in America
The 10 Most Commonly Stolen Vehicles in America

A new model parks atop the list of vehicles that thieves love to pilfer.

19 High-Paying Jobs You Can Get With a 2-Year Degree
19 High-Paying Jobs You Can Get With a 2-Year Degree

These jobs pay more than the typical job in the U.S. — and no bachelor’s degree is required.

5 Ways to Get Amazon Prime for Free
5 Ways to Get Amazon Prime for Free

Hesitant to drop $119 a year on an Amazon Prime membership? Here’s how to get it for free.

10 Reasons Why You Should Actually Retire at 62
10 Reasons Why You Should Actually Retire at 62

If you can, here are several good reasons to retire earlier than we’re told to.

3 Ways to Get Microsoft Office for Free
3 Ways to Get Microsoft Office for Free

With a little ingenuity, you can cut Office costs to zero.

26 States That Do Not Tax Social Security Income
26 States That Do Not Tax Social Security Income

These states won’t tax any of your Social Security income — and in some cases, other types of retirement income.

14 Things That Are ‘Free’ With Medicare
14 Things That Are ‘Free’ With Medicare

These services could save you money and help prevent costly health problems.

5 Keys to Making Your Car Last for 200,000 Miles
5 Keys to Making Your Car Last for 200,000 Miles

Pushing your car to 200,000 miles — and beyond — can save you piles of cash. Here’s how to get there.

5 Things That Make Life More Meaningful for Retirees
5 Things That Make Life More Meaningful for Retirees

Retirees agree: These are the things that give them purpose and fulfillment in their golden years.

10 Things You Should Never Do With Bleach
10 Things You Should Never Do With Bleach

Does the pandemic have you reaching for bleach more than ever before? Learn the ins and outs of using this powerful disinfectant.

15 Amazon Purchases That We Are Loving Right Now
15 Amazon Purchases That We Are Loving Right Now

These practical products make everyday life a little easier.

View More Articles

View this page without ads

Help us produce more money-saving articles and videos by subscribing to a membership.

Get Started

Add a Comment

Our Policy: We welcome relevant and respectful comments in order to foster healthy and informative discussions. All other comments may be removed. Comments with links are automatically held for moderation.