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Do you believe in Karma?
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I see this happen quite often. No budget for raises until someone's about to walk, then magically money appears. It's annoying but pretty common. The junior person's raise is probably smaller than what yours would be, so in your case, as the leader, they're probably still claiming budget constraints for you specifically. they're likely still saying they can't afford you. When they promoted you in July without the raise, did they say anything about revisiting it later? If they did, bring that up now. If not, just be direct and tell them you got team members their raise. Now I need to talk about mine. I took on more responsibility in July without an adjustment, and it's time to address that.
You have some leverage here. And honestly, if they promoted you without a raise and won't commit to one, that's a red flag about how they value you. Start exploring your options. Sometimes the only way to get paid what you're worth is to leave. Might be time to start looking.
How will you justify that should the employee file a claim?
Time to move on. This isn't going to be a positive environment.
I was just coming here to say this. It’s time to find something else. It doesn’t sound like they value you enough to give you a raise, and threatening to leave shouldn’t be the reason for a large one either. It sounds like a very toxic environment to be in.
I'm sure she isn't the only one who feels strongly about learning there would be no raises. Sounds like there's more issues going on with a company who can't afford to make adjustments to all who support it as a business.