The split between the haves and have-nots of the workplace couldn't be more dramatic.
On Nov. 29, President Obama announced a two-year pay freeze for non-military federal workers. And on Dec. 3, the government is expected to confirm that the U.S. unemployment rate remains stuck at 9.6 percent, according to the median estimate of 57 economists surveyed by Bloomberg, which will translate to anemic pay gains. But not at Google (GOOG). The search-engine behemoth, looking to stem the defection of key workers to other hot Silicon Valley employers, announced last month that its 20,300 employees will get a 10 percent wage hike starting in 2011. (Imagine, when will the average employee feel it's a reasonable gamble to walk into the boss' office and demand a 10 percent raise or threaten to walk?) "Google has to preempt the desire for its talented employees to seek work elsewhere," says Richard Florida, director of the Martin Prosperity Institute at the University of Toronto. "I've seen talented employees flee the previous employer of the moment for the next employer of the moment—just ask Microsoft (MSFT)."
To read the full, original article click on this link: On Pay Raises, It's Google or Bust - BusinessWeek
Author: Chris Farrell
