These tips can help managers to enter into a dialogue with employees

1. REFLECTIONS
Ten C’s for Communicating ACRs
A clear strategy on
how to
communicate
about salary hikes
is a never ending
debate. However
there are effective
tips evolved over the years. Mangers
must recognize their role and the value
that they add when communicatingannual
compensation packages to employees.
Confidentiality
Schedule a private meeting with the
employee to discuss/inform their pay. Never
mention about others salary during these
meetings.
Circumstance
You will have to providethe context for the
employee’s pay raise. For example, our
company’s philosophy is to award pay
increases based on merit and contribution.
Contribution
Inform the employee why they are receiving
a pay increase. Be as specific as you can
be about the contributions they made during
the year.
Compensation
Intimate the employee what their new
annual salary is using the guidelines
provided to you.
Confidence
Take the effort to express faith that the
employee will continue to contribute and
that you will value all of their future
contributions.
Commend
Thank the employee for their work and
commitment to our company.
Concern
Listen to the genuine issues raised by the
employees Inform them that the request will
be taken up as appropriate.
Capture
Take notes of the key learning’s during
these discussions. These are valuable tips
that can be reused in the coming years.
Conclude
It is your primary responsibility to close the
feedback loop with the concerned
employee.