Market Research: Workforce / Workforce Development / Workforce Diversity / Changing Workforce

Report: Employers promote 8.9% of their employees annually

By IndustryWeek staff

Apr 25, 2019

A new national report was released recently to help employers get data on pay, promotion, and hierarchy insights.

The inaugural report by the ADP Research Institute provides data-driven organizational benchmarks derived from the aggregated and anonymized HR and payroll data of U.S. workers. The results are further examined by age, gender, firm size, and tenure.

The report, based on payroll from more than 13 million employees, was designed to help employers gain a better understanding of the hierarchical structure of organizations, pay levels, how pay and promotions are connected and how employers retain workers throughout their organizations.

Overall, employers promote 8.9% of their employees annually and those employees received an average wage increase of 17.4%. Interestingly, however, promotions within a team are associated with higher turnover among other team members. Dr. Ahu Yildirmaz, co-head of the ADP Research Institute noted that "While promotional opportunity may be perceived as a net positive, it can also have a negative impact for team members who have been passed over."

Read the full article, "2019 State of the Workforce Report Offers Mixed Bag," and download the full ADP report.

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