New data from HR Tech Company Energage shows that many American workers feel they are not paying for what is worth, despite slight improvements in the 2025 compensation trend. Only 69% of employees feel that wages are fair.
What is behind the frustration? Economic pressures such as inflation and rising costs are eroding perceived profits. “Salaries aren’t keeping up to inflation,” says Sam Demase, career expert at Ziprecruiter. “While workers may feel they are gaining more money due to increased wages, their purchasing power remains stagnant.”
Due to slower employment growth and fewer open roles, KPMG points out that businesses have limited room for wage increases. This is what workers and employers can do to bridge the gap.
What employees can do is feel that pay is unfair
Demase says that these strategies can increase the chances of workers increasing their pay.
Know your value and own it
“Think about all your skills, experience, software knowledge and certification,” Demase says. “Mapping what you have to offer and how it compares to what your role needs will help you defend the salary you deserve.”
You then access fair workplace compensation data through Ziprecruiter’s pay estimator or by comparing job descriptions for similar roles. This study shows whether you may be underpaid. It also provides pay transparency needed for effective discussions.
“We’ll negotiate this information with a focus on business impact and outcomes rather than armed and personal,” advises Demase.
Tip: Don’t cite cost-of-living concerns to negotiate a salary increase in 2025. Instead, tie your experience to your employer’s needs. “I mentioned that the priority of this role is to hire, train and retain the team. I did this well in my last position and am excited to bring my expertise to this role.” Then, “Can I bring my total reward closer to $100,000?”
Find a role that cherishes your superpower
Besides knowing the market rate, DeMase suggests targeting positions that match your most powerful skills. “Your superpower and your outcomes are your unique value proposition,” she says. “If you don’t know your value proposition, your potential employers won’t do that either.”
When you apply and write a cover letter, emphasize how you will deliver your job requirements. “I know you are looking for someone who is a builder.
Tip: To clarify your values, DeMase recommends using this template. Next, we will support your point with strong examples and measurable results from past work.
What employers need to understand today’s salary reality
Paying frustration isn’t just an employee problem. Clarity and transparency in compensation is essential for businesses that want to attract and retain talent. Here are some things employers often miss and how to fix it:
Competitive wages lose their impact without clear expectations
“If we meet or exceed the market rate, we attract and maintain the highest quality candidates,” explains Demase.
However, competitive salary alone does not solve the issue of trust if the manager makes ambiguous promises about future pay increases. For example, if a leader says, “review the next quarter,” she warns, without further explanation, employees will be motivated.”
To avoid this, Demase recommends that workers be directly on what they need to do to get a raise. Do they need to upskill? Do they need to take on a specific project? Do they need to achieve certain business outcomes?
“Employees are eager to have clear and honest feedback,” she emphasizes. “Know what you are and be willing to have an open, honest conversation.”
Clear promotional routes alleviate concerns
“If the promotional process is vague, the team loses trust,” warns Demase.
Great leaders provide a clear skill roadmap for each level. An overview of exactly what employees need to do to transition from manager to director to C-suite roles.
Not only does it prevent confusion, this transparency builds loyalty. Demase encourages people to promote from within as much as possible and share those success stories. “Employees long for and ultimately trust companies that don’t only hire outside because of their high-level roles,” she explains.
What is USA Today Top Workplaces 2025?
Do you work for a great company? Every year, USA Today Top Workplaces is a collaboration between Energage and USA Today, ranks among organizations across the United States, and excels in creating positive work environments for employees. Employee feedback determines the winner.
In 2025, over 1,500 companies were recognized as the best workplaces. Check out our overall rankings. You can also gain insight into top-ranked employers by checking out the links below.
