Mid-year raises are definitely rolling out at Deloitte now that a comp thread has been created on Reddit.
To recap, in late September, Deloitte CEO Joe Ucuzoglu told staff in an email (scroll down for the full text of Joe U.’s email) that the firm would be “performing a market-based analysis of our professionals’ pay. In some markets and for some professionals, our compensation remains highly competitive and no current adjustments are warranted. For others, data indicates that adjustments are needed because of shifts in the market over the last few months. If our analysis indicates we should increase your compensation to reflect these market realities, we will do it promptly—not next year, but by the end of this calendar year.”
So far Joe U. has been true to his word, as the fortunate ones at Deloitte are adding their recent bumps in pay to the Reddit comp thread. Let’s take a look at how big the mid-year raises have been by level and practice area:
11% (audit)*11% (audit)*
17% (audit)**17% (audit)**6.2% (tax)
17% (audit) **13.8% (tax)17% (audit)**
16.8% (audit) **
Tax Consultant 1
* Took $20,000 retention bonus.
** Took $35,000 retention bonus.
ICYMI, Deloitte’s audit practice is trying to stem all the bleeding of employees during the Great Resignation by offering a one-time retention bonus to second-years through senior manager, with the amounts varying by level. Those who take the retention bonus must remain at Deloitte through the end of May 2023. If Deloitters leave the firm before then, they have to pay back the bonus in full. The bonus will paid out on Jan. 7, 2022.
We expect there to be more pay raise submissions to the Deloitte mid-year comp thread on Reddit in the coming weeks. Once that happens, we’ll update this post.
[Updated on Sept. 27 with email to staff from Deloitte CEO Joe Ucuzoglu.]
Thanks to a tipster, the following is an email Deloitte CEO Joe Ucuzoglu sent the troops this morning regarding the firm’s well-being subsidy, an additional holiday before Thanksgiving, reimbursing commuting costs, and, most importantly, mid-year salary increases:
We each value being at Deloitte for many different reasons—to build long lasting connections with colleagues, grow continuously in our careers, make an impact that matters on challenging issues for clients and society, and to become the true and best version of ourselves. Whatever the reason, and no matter how long you’ve been with our firm, as Deloitte professionals, you approach your work with pride, energy, and resilience, and we could not be more grateful for your commitment.
Our firm is experiencing unprecedented levels of growth and success, and this gives us confidence in the extraordinary opportunities for all of you to grow and thrive in your careers. At the same time, this incredible success also comes with some hard truths—you are bearing a heavy responsibility to keep our commitments to our clients and to each other. We want you to be confident that your contributions are being recognized and rewarded, and we are taking bold actions to support you in every way we can.
To reflect our appreciation for all you are doing and the confidence we have in our bright future, we are announcing the following as we re-energize and strengthen our commitment to you:
Supporting your well-being: The stressors everyone is experiencing have made it clear that caring for your well-being has never been more important. While no one can solve every challenge in this complex time, there are important things we can do to support you now. Hiring continues at record levels to get you the support you need to deliver for our clients—Deloitte is the destination of choice in the talent market. This fall we’re also rolling out our new Integrated Mental Health Services (IMHS), which expand existing benefits by providing a personalized, concierge-style approach to address a wide spectrum of mental health needs for our professionals and their dependents facilitated by Deloitte clinicians. And in response to your feedback about what we can do to help you invest in yourselves, we are doubling our well-being subsidy to $1,000 annually and increasing the reimbursement percentage from 50% to 100% with more eligible purchases.
Providing Collective Disconnects: We are adding an additional firmwide day off the Wednesday before Thanksgiving, so that you have more time to focus on family and friends. This will result in a five-day collective disconnect over Thanksgiving, in addition to our previously announced 10-day collective disconnect from December 24 through January 2.
Transitioning to your hybrid future: We know the gradual transition to hybrid work comes with exciting expectations and some uncertainty. To help you do your best work during the transition, we are providing you up to $500 worth of productivity tools such as a second monitor, keyboard, headset, improved lighting, or speaker. Also, while commuting costs are a personal expense, we are making an exception in this current environment to alleviate anxiety about public transportation, so you can be together with colleagues and clients in moments that matter. For the remainder of FY22 (through May 28, 2022), we are allowing for the reimbursement of commuting costs (e.g. taxi/rideshare, parking, and tolls) up to 1,000.
Competitive compensation: You have our commitment that we will continue to rely on data and market analysis to ensure our compensation and rewards are competitive and reflect the outstanding results you are delivering. We are therefore sharing two specific actions:
Rather than waiting for the next annual compensation cycle, across the firm we are currently performing a market-based analysis of our professionals’ pay. In some markets and for some professionals, our compensation remains highly competitive and no current adjustments are warranted. For others, data indicates that adjustments are needed because of shifts in the market over the last few months. If our analysis indicates we should increase your compensation to reflect these market realities, we will do it promptly—not next year, but by the end of this calendar year.We are also happy to confirm that our next annual compensation cycle for AIP and base pay changes will be similar to the accelerated timeline we used this year, which provided payouts in June instead of our traditional late-summer timeline.
Creating more meaningful human connections: For most of you, building relationships and learning from each other are reasons why you chose Deloitte and continue to be here. Regardless of how long you have worked here, what team you’re on, or how you work, we want to bring these experiences back to the center of life at Deloitte. We are implementing several programs to foster more human connections, some in-person and some virtual. For example, more than 10,000 colleagues who joined during the pandemic will attend Accelerating Your Deloitte Experience at Deloitte University this fall. Leaders at all levels are listening, learning, and working hard to find ways that we can enhance connections with each other.
While these actions don’t reflect all the changes you will see in the coming months, they are a bold step in demonstrating our commitment to you. You Are Deloitte, and we are extremely proud of the meaningful impact you continue to make on our clients and our communities.
So the biggest takeaways regarding raises from Joe U.’s email are:
Mid-year raises will be firmwide, not just in audit/assurance and tax.Those whose pay Deloitte deems is already “highly competitive” won’t be receiving a salary adjustment before the end of December.Compensation discussions and bonus payouts will be held again in June 2022, as they were in June of this year.
Our tipster told us:
I’m hoping comp is increased. I personally know many people that are avoiding the profession entirely because of the pay. I’m about to jump ship if the pay isn’t increased substantially for myself.
I’m sure there are plenty of other Deloitters who feel the same way and are planning to bail if these mid-year raises don’t meet or exceed their expectations.
[Original post from Sept. 24.]
If you follow TheBig4Accountant on Instagram, you might have seen this included with TB4A’s Instagram Stories yesterday:
That is what Deloitte & Touche Chair and CEO Lara Abrash told Deloitters in audit and assurance during an all-hands call on Thursday morning. This was also confirmed in posts on Fishbowl and Reddit.
It was also noted on Reddit that Abrash said Deloitte employees will get “a ‘large increase’ to our well-being benefit and another stipend for virtual WFH accessories to be spent at a Deloitte storefront. And an extra holiday around Thanksgiving.”
A source who works in Deloitte’s tax practice told us yesterday that tax employees were told a few weeks back that they also will be receiving mid-year salary increases in December but weren’t told how much.
We don’t know yet whether the mid-year raises also extend to those who work in Deloitte Consulting or Deloitte Advisory. If so, shoot us an email or text us at 202-505-8885. All tips are anonymous.
Deloitte handed out employee raises in late spring this year instead of the usual August time frame. While raises weren’t horrible by any means, an analysis we did showed they weren’t as good as the raises given out this year at PwC and EY.
Compensation Watch ’21: Deloitte Staff Gets Some Encouraging News About Raises and Promotions
The post Compensation Watch ’21: Deloitte Puts Mid-Year Raises On the Table (NEW UPDATE) appeared first on Going Concern.