Pay Review Letter

A pay review letter is written by an employee to his employer. It is written in those circumstances when an employee wants his current salary to be reviewed based on his performance. It is a formal letter and cannot always be considered as a request to increase the pay. But sometimes, it serves the same purpose when an employee thinks that he is giving his best performance and in that case, the employer must be persuaded through suitable evidence by the employee.

The process of pay review becomes formal if an employee writes a letter rather than oral demand for the same. It is beneficial for both parties. First, the process is channelized and would be kept in record. Secondly, using a letter instead of an oral demand of review would enable the employer to perform an in-depth analysis of his employee’s performance. Thirdly, it would eliminate the element of hesitation in an employee while talking face to face with his employer.

This letter can be used by the following persons:

  • Employee after Probation – Upon completion of the probationary period, in case of satisfactory performance, an employee can write the pay review letter to his employer.
  • Existing employee – An existing employee can write the same letter if he believes that his performance is up to the mark and his salary needs to be reviewed.

Sample Letter

07-05-20XX

Anderson, Office Assistant
Stars Marketing services, Michigan

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Dear Mr. James,

I hope you will be fine. Please consider my words as a formal request to review my current pay. I have been working with your company as a commercial assistant for the last five years. I stood by the company through every thick and thin and performed extra work in addition to my own ones. Owing to my past achievements, the best services I rendered for this company, evaluating my performance, and a comparison of my current pay with average market salaries will support my stance of a 15% increase in my annual pay.

You know that I joined this company in its nascent days. At various times during my service, I asked to perform the role of staff manager. I involved myself in the budget-making process and sometimes as project manager whenever asked. Detailed analysis of my last year’s performance will distinguish me from other employees in the following ways:

  • I introduced reforms in the existing marketing system of our company and contributed towards an annual additional saving of $70,000.
  • I explored new ways to launch our special product into the market. My strategy helped this company achieve its annual target with an additional amount of $30,000.
  • I worked within a specified time limit, provided company with my best possible services, and added to its prestige.

An in-depth analysis of my performance will further reveal that I am the best team player owing to my unique management style which was always appreciated by my colleagues. As a commercial assistant, the company is paying me $60,000 in lieu of annual pay. As per my research, existing pay for the same post is $75,000 per annum, being paid in the market by other companies. This is 20% more than my pay. I request you to increase my pay by 10% in order to keep me streamlined with the existing market pay package. This increase in my pay will further enhance my efficiency.

I will highly appreciate your attention in this regard. I have been an asset to the company and hopefully, continue with the same. If you think that the suggested increase in pay is more, you can also negotiate with me. I hope my request will be entertained as soon as possible.

Yours sincerely,

Anderson.


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