Dalia Lindqvist· Benefits Manager, Silverline Media
Posted in Chicago Chapter ·
Our planning cycle opens on the 20th and I have to bring a number to the CFO before then. Last year we budgeted 3.5 percent merit plus 0.5 for promotions and adjustments, and actual spend came in at 3.3 because of turnover savings.
Early word from finance is that they would like to see 3.0 for 2027. I think that undershoots the Chicago professional services market, but my evidence is thin: two early survey reads and conversations at the last Loop meetup.
Would people share their planning number, even as a range, and say whether you carve out a separate pot for market adjustments?
0 reactions · 4 replies · 7 views
Dana WhitfieldCRP, GRS
Director, Global Compensation, Meridian Health Systems
Healthcare system, about 9,000 staff across the metro area. We are planning 3.0 general with a separate 1.0 percent market pot aimed at nursing and imaging, where we are still losing people to agency work. Non-clinical corporate roles will probably land closer to 2.75. Board sign-off is in early December, so this could still move.
Benefits Manager, Steinbach Industrie
Manufacturing, mostly suburban plants. Salaried budget is 3.25 merit and 0.5 promotional. Hourly is separate and negotiated, 3.5 in year two of the contract.
Our CFO also opened at 3.0. What moved him was seeing voluntary turnover among high performers at 11 percent against 6 for everyone else.
Dana WhitfieldCRP, GRS
Director, Global Compensation, Meridian Health Systems
Benefits Manager, Steinbach Industrie
On the carve-out: we stopped running a separate adjustment pot two years ago because managers treated it as a second merit budget. Now the compensation team holds 0.4 percent centrally and applies it after merit, only for people under 90 percent of range midpoint. Fewer arguments, and the money goes where the gaps are.
