In modern world, with the increase in the global trade and multi-national companies, the pay structure was subsequently changed based on the position level. In this essay, we will discuss the differentiation in pay between the senior employees and their younger counterparts within the company. I would strongly agree to the fact that junior workers are having hard time in receiving justified salaries according to their skillset.
Firstly, in any organization the wages for its employees should be based on their performance and individual skills which add value to the firm. However, this was not followed by companies in their evaluation criteria to determine the right pay to their employees. For instance, a survey conducted by a local business magazine named “The Chronicles” for the year 2024 on the employees and their salaries implicates that 75% of the companies tend to increase the annual salaries of their top-level positions by 35%-40% while in contrast, the newer or younger workers given the raise by just 7%-9%.
In addition, nowadays, in many companies the decision-making power on the budget and costs is associated with the senior leadership and the employees with managerial role. One of the important factors for this disparity is that people within these roles tend to misuse such power and use it for self-interests rather than employee growth. Recent trend in corporate world illustrates, that candidates are keen on switching companies after certain level of experience to get good salaries rather than working in one company for longer time.
This essay states the point of unequal distribution of wages for its employees working in a same company. In conclusion, although, the senior employees should be paid based on their experience, there is a need of balanced structure for all companies around the world to reward its younger workers to receive deserved salary.