So I recently found out that my current company is underpaying me. And by that I mean that literally any other company is willing to pay me 15-20k more than what I make now. In my current role they've asked me to take on extra responsibilities with no financial compensation (scrum master type stuff) while still doing my engineering stuff. I don't necessarily mind it, but I'm starting to feel like I'm being taken advantage of. Is it reasonable for me to ask for a raise? Or do I go somewhere else?

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Go somewhere else.. Most often, you’re appreciated more in a new role, than an existing one. It’s the unfortunate truth, but going somewhere else where they are in “need” will often be more beneficial both financially and from a growth perspective. Be well!

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Zzzzzzzz

I was in a similar situation. I was getting paid around 240K (175 salary 17.5K bonus + 50k ish stock) for someone with a lot of experience (10+years). I studied my butt off, got 4 offers (ranging from 375K to 405K(post ipo) to 500k (pre ipo)) if you put in the effort to study, you can definitely get more $$

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Thanks. That is very helpful.

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Leave before you get resentful. I’m in a similar position and talking with recruiters, they’ve offered 1.5-2x my current salary. I am being super picky about my next move though, looking for a job while I have a job is a nice change

likesmart

I agree with being picky! I’m in same boat and willing to turn down places that don’t suit me. It’s the lesson I’ve learnt of - go to a job you like, not to just pick a place to run away from your current role ☝️

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Go somewhere else. Then come back 2 years later

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Pack up and go. They’ll hire two people behind you at your same rate. Companies need to remember we aren’t paid just to be there. More expectations mean more pay. It’s those of us that stick around HOPING for compensation that get played like a fiddle.

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If you jump for 40%+ Your company either is intentionally not compensating you at market at worst or they are ignorant of the market which shows poor planning if they are in tech.

Or they really believe their culture is worth 50K in Base comp.

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Having the added experience is nice to help you land the next job. Use the scrum duties to create stories if you choose to interview elsewhere. It shows you are flexible - try to keep it positive when reflecting on it.

likesmart

+1 This is good advice

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If you feel comfortable, consider speaking (or emailing) with your manager or hr rep about your salary. I think it is very fair to talk to
hr or your manager about doing a “salary analysis” of your current salary. If necessary, be ready to let them know why you feel like your salary is low (i.e. market research or however you found out your pay was lower than it should be), if they ask.

If they are asking you take on more work, they obviously trust you and/or need you.

It’s can be an a awkward conversation but if you have to ‘send an email’ versus ‘speaking’ directly to your Hr and/or your manager, do that.

The other people who commented about n this post and given the advice of looking for a new job and getting paid MORE is an option that you can explore and is always on the table as well. You definitely have options!!!

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Ask for a raise, and if they can't accommodate, leave. Being underpaid during a wave of global inflation is untenable.

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Reasonable for you to feel you are being taken advantage of. But many companies with toxic culture are offering crazy high salaries right now because they are desperate for workers. Really have to dig beneath the surface to figure out if the pay increase is truly worth it. My current company pays on the low side, but I stay because I like how I’m actually treated with human decency. Wouldn’t trade my flexibility for any salary!

likesmart

Layoffs are on the way for tech. This is something the younger workers have not yet seen so I would exercise caution before jumping ship. (The new place may have layoffs before long and it could be first in, first out). Sounds like you are becoming indispensable which means job security which may become a hot commodity in short order. Consider seeing this as an opportunity for growth to be leveraged for monetary gain in the future.

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Can I offer advice from the perspective of a Manager? It will be long but hope it helps.

My team is experiencing high rotation due to higher paying tech companies and other less stable contract-based agencies who are stablishing in our region (Mexico City), so I've had to go through many resignations and retentions.

Yes, there are always areas to improve as a team and as a company with regards to properly compensating and advancing the careers of our team, but there's also the case that not all companies can afford competing with higher salaries.

A lot of procuring proper compensation and career planning comes from frequent and open conversations with our team members to make sure we understand how their and our expectations are aligned. And whilst we can't always match salary or promote someone there are other aspects such as flexibility, benefits, trainings and team/company culture and work environment.

From those open conversations, you might not always get the answer you expect but you'll get a real perspective of what to expect. As Managers it's important to understand the best policy is honesty and transparency in what can and can't be done and why: never promise something that is not in your control or you know you can't deliver. When trust is undermined, all is lost.

If that doesn't exist in your team, well then get it started! Ask your manager for a one on one, express how you're currently feeling about your income and having higher responsibilities.

I advise you avoid referring to external offers, but you can mention you have realized you can earn more.

In the end, if you're asking this is because want to stay.

For everyone, if you're going to refer to an external offer make sure you had received an offer letter from the new company: being accepted as a candidate to apply for a position doesn't mean you have it, in the process hiring managers might decide your resume doesn't match your actual skills.

But I'd say it's better to do our due diligence of expressing what we expect and how we feel to our leaders, than staying quiet and look for other jobs, than waiting until the last minute to resign and ask for more.

I've had people coming and resigning where as part of our conversations I had to be honest and mention from our perspective we can't justify a raise, and we can't fully match the new offer and I offer less and a commitment to plan along with them how they can get to the level they need to promote internally. What I mean is just because someone pays you more outside, it doesn't mean you'll automatically be matched in your current job; when you say you're leaving, be ready to leave.

Think about it: why would I pay someone more because they are leaving to avoid dealing with the impact of their attrition, if I'm going to cause an imbalance and be unfair to people who have more merit than them? I'll just patch a problem and later will have to deal with a key player leaving out of disappointment. Not worth it.

Companies need to be financially responsible and make sure salaries and positions are sustainable in the long term.

If you're being offered a position in a new company with higher salary, and the company is new or a startup or just throwing money left and right to hire, understand there's a risk you're taking: the risk that they won't be able to sustain those expenses. And when that happens guess who will be the first to leave? The new non-key players.

In my case when someone leaves all I can do is make sure they are doing so with a clear and calm mind, and properly informed. Even if it is painful and hard to deal with, I'll always be happy and proud to know someone from my team is going to truly do better and I wish them success.

In the company's case, we have come to terms with the fact we won't be able to compete with the bigger players, we will procure our key people, bet for a healthy work culture and develop people with potential.

We are losing talent, but them acknowledging there's nothing wrong with our company but truly an offer they couldn't reject is an indication we're doing something right. It'll pass.

I believe someone mentioned here tech companies in US are starting layoffs and stability is something to consider. They are right.

No one should stay in a job they are not comfortable in just our of fear, but you have to accept and be honest with yourself when you're taking a decision that carries a risk.

Your choice. hope this perspective helps give you clarity. All the best!

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Lmaooooo. Ayooooo. In exact same situation!! Please please give solutions !! I also live pay check to pay check . Lots of responsibilities. So please give me reasonable solutions !!

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I recently found myself in your exact position. Only difference is the canyon of difference between what my base and bonus came to and what the street was offering, 80K difference. For the last two years I added more responsibilities(I too added a scrum master role for multiple departmental and organizational initiatives), took on administration/support for many other platforms and always had positive mid and year-end reviews.

So here’s how I went about the endeavor of contemplating a move or being given a raise commensurate to my value. First and foremost there was a need to gather information to determine my value outside my organization. After going the recruiter route and interviewing I was able to put my finger on the pulse of the market. Once I had concrete offers in hand I knew my worth and knew, comparatively speaking, what the company could counter with(some organizations are limited to what they can do). There are other factors that come into play as well. “If I remain and hybrid work location continues how much is that worth to me?”, “Do I have growth possibilities?” “If they agree to a significant bump in base am I hitting another ceiling?”, “Putting myself higher on the list for cost saving department downsizing?” “If they do it now why didn’t/couldn’t they do it every other time I asked?” “Are their efforts to correct culture and people structure going to bare fruit?”

So after thinking all of the above over I approached them one final time and let them know that I was not pleased at my current compensation level and cited various sources and data points as reasoning(including letting them know I’ve had offers). They took everything into account and were silent for two weeks. Meanwhile I formally accepted an offer from another firm and had my background check with them begin. Once everything was in order I sat down with my direct leader and the head of the department and gave notice. They were “Shocked” and didn’t think my previous statements indicated a critical juncture requiring decisions to be made immediately(I’m sure they were just posturing). I was then asked to meet with the CFO and CTO the following business day. At no point during that meeting was a formal counter offer made. So I made the choice to leave.


Here’s my advice:

1. Make sure you have concrete offers and reasoning for asking for a specific numeric increase.

2. Try to understand where that might leave you if they end up agreeing.

3. Ask yourself why you haven’t been kept at market level.

4. Do you sacrifice guaranteed money for other factors (culture, flexible wfh policy, benefits, advancement possibilities…)

5. Is your leadership team one that you have confidence in? (Inside your department and also above it)

6. Know your worth and don’t be afraid to get it

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1. Get the job offer first
2. If you love your company talk to your manager explain the situation and ask for raise
3. If they don’t match resign and go to new job
4. If they want you back and you want to be back they have to give you same salary or more later

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Leave no company should ask you do that. On top of that being underpaid is a huge red flag!

yuuu

I’m in your same position. Ask for a raise! If you don’t get it, look for somewhere else.

In this day in age I think it’s best to go to your management and give the statistic of what other people with similar responsibilities are making and ask if they’re willing to match that. If you enjoy that company but If they aren’t you most definitely will get what your worth my looking at different opportunities especially if you have an in demand skill-set. Job hopping every 2 years or so will almost guarantee your making what you want.

I am in a similar position. I asked for a raise in the past and got it but I am still being severely underpaid and having the work load of a salary employee (as an intern mind you). So if I were in your shoes (which I am in a similar position) I would start looking elsewhere since looking can only help you. Even though I received a raise I am still looking elsewhere, because what some of the others have said here is correct. They can and will most likely replace you with someone cheaper given the chance.

Well, it depends on whether or not you otherwise like the company, the people, the policies, and the additional tasks and/or responsibilities. Companies are in the business of making money, and that means paying the lowest cost for all resources, people included. So they very likely already know they are underpaying you, since it is in their best interests to know these things, and if you seem happy with the arrangement, why would they change it?

You can go to your manager and say that you believe you are being undercompensated, and then either state what you want (more pay, better bonus percentage, additional PTO, etc.) or ask what the company's *best possible* offer is, and then go from there. Understand that if you do not accept their offer, you might be putting yourself on a first-to-go list.

If you do not particularly like the work situation you have, then by all means, dip your toes in the water and see what else is out there that you are actually qualified for. There are lots of "software engineering jobs" out there, but you have to look closely at them and be honest with yourself to make sure you really are applicable to them.

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