Executives taking salary cuts can show stakeholders that they too have skin in the game,” says Stacie Haller, chief career advisor. “This can not only help to potentially prevent the loss of jobs but also maintain company morale.
SEATTLE (PRWEB) February 01, 2023
ResumeBuilder.com, the premier resource for professional resume templates and career advice, has published a recent survey report that examines how executives across the United States are responding to impending layoffs. The study also highlights the impact on various industries and the average wage reduction among executives. Researchers analyzed responses from 1,000 U.S. executives at companies with more than 100 employees.
Seventy-eight percent of respondents say their company has had layoffs in the past six months, and 70 percent expect layoffs in the next six months. According to the study, 66 percent of executives accepted a pay cut in the past six months, and 94 percent say it was to prevent or reduce layoffs. Likewise, 67 percent of executives say other executive employees at their company had their salary cut in the past six months.
Survey results indicate that of executives who took a salary cut, 37 percent received a 20 percent reduction in their salary. Additionally, more than one-quarter of respondents accepted a 30 percent or more pay cut, and nearly 5 percent took a 90 percent or more decrease in wages. Among executives who have not taken pay cuts, 36 percent say they would ‘definitely’ and 31 percent say they would ‘probably’ accept a pay reduction to prevent layoffs.
“Executives taking salary cuts can show stakeholders that they too have skin in the game,” says Stacie Haller, chief career advisor. “This can not only help to potentially prevent the loss of jobs but also maintain company morale.”
The report looked at industries that were represented by at least 50 respondents. Nearly 75 percent of respondents in health care and social assistance had their salaries reduced in the past six months. This was also the case of 66 percent of executives in the software industry, 58 percent in finance and insurance, and 57 percent in information.
Additionally, 60 percent of executives say they are ‘extremely concerned’ about the well-being of non-executive employees, and 68 percent believe it’s ‘extremely important’ for companies to avoid layoffs.
ResumeBuilder.com commissioned this survey, and all data found within this report derives from the study. The survey was conducted via the online platform Pollfish on January 19, 2023. In total, 1,000 U.S. executives at companies with more than 100 employees were surveyed. Appropriate respondents were found through demographic criteria settings, including age (25+), number of employees (100+), employment status, and organizational role. To view the complete report, please visit: https://www.resumebuilder.com/6-in-10-executives-have-taken-pay-cut-to-minimize-layoffs-in-past-6-months/
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