Here’s How To Know If You’re Underpaid—Plus, Tips To Get Better Pay

Why do we work? Yes our careers may fulfill us, but in a practical sense, we work to earn a living. We work so we can sustain ourselves and our families, and of course, build a good life.

But how can you be sure that your company pays you for what you’re worth?Thatis the question. Naturally, no one wants to be underpaid, but then it’s not always easy to determine if you are. For starters, the number of zeroes on one’s paycheck is not exactly a topic you openly discuss with just anyone during a casual coffee break. In most Asian societies, salary talks remain somewhat taboo primarily because they’re awkward and uncomfortable for most. Unfortunately, this culture of “pay secrecy” is partly responsible for unequal compensation in the workplace.

The good news? According to the JobStreet Salary Report 2022, the salary outlook in Singapore is looking good, with the job market reporting the most salary increases in 2021 (more than 40% increase) compared to Malaysia, Indonesia, the Philippines, Thailand, and Hong Kong. (See the full report here.) That said, it’s all the more important to know if you’re getting your fair shareorif your company is shortchanging you.

Here's how to know if you're underpaid:

Don’t Ignore the Signs

Curious to know where you stand on the career payscale? You should be. Here are six hints that suggest that your employer is underpaying you. Plus, find out how to measure your worth.

Sign #1: Online data puts you below average.

It’s amazing how much information you can find online nowadays—you can even Google data on salaries in your industry and location. An example of a salary resource is Payscale, which offers up-to-date info on average base salaries for a wide range of industries and positions across the globe. A quick search on the site will reveal that the average salary in Singapore is at SGD 54,000 per year or around SGD 4,500 per month.

It’s easy to use, too. Just go to its website, browse jobs by industry, and choose your position to reveal the median rate for your role. Here, you can instantly see if your current pay falls within the estimated average or if it’s significantly lower—which means you need a change.

You can also check out JobStreet Singapore's annual salary report to check your salary's standing.

Sign #2: Your peers and/or juniors earn more than you.

If you have an inkling that you’re receiving less money than your peers or even your juniors, you may want to consider opening up the topic to your co-workers to get more info and to confirm (or to squash) your suspicions. Tread carefully, though. These conversations tend to be sensitive for many. Approach only those contacts with whom you're close. Try not to probe too much, too.

Another option is to reach out to former officemates who may be more willing to spill salary details since they’re no longer with the company. If your investigation leads to you discovering that people in the same position as you (or lower) are earning more than what you make, then you know there’s a problem.

Sign #3: You’ve been working for the company for years.

Loyalty is a good thing, but it can backfire on you financially. A new study has confirmed that itpaysto switch jobs versus staying in one company for many years. Research shows that employees who accept a new job with a new employer earn more than their former co-workers who remain. The reason? Most companies offer generous incentives to new hires—not existing employees—to attract top talent.

Also Read: Changing Careers? Here’s How to Ensure Your Current Skills Are Still Relevant

Sign #4: Your role expanded, but your salary didn’t change.

Got new responsibilities at work? Great! But if the added tasks didn’t come with any additional pay, be wary. You’re likely being cheated out of fair remuneration. The same applies if you switch roles or go higher in rank yet no adjustments are made on your payslip. In such cases, it’s best to express your concerns to your superior or HR manager and negotiate for a pay upgrade.

Sign #5: Prices are rising, but your salary is still the same.

Here’s the sad reality: Every year, your SGD is worth a little less because of this thing called inflation. In 2021, Singapore’s inflation rate was at 2.3%, indicating the rise in overall prices. So, if your salary didn't increase by that much, then you’re already being paid 2.3% less this year!

Sign #6: You accepted the first offer given to you.

If you never negotiated for a higher salary when you accepted the job and simply said yes to what was presented to you, chances are you left some money on the table. Employers hardly ever give their best offer first as this gives them wiggle room in case a candidate asks for more. Keep this in mind for your next job—be confident in what you can bring into the company and negotiate for a higher salary.

So you’re underpaid—now what?

Don’t feel too bad. The first step to making things better is to recognise the problem, and you’ve already got that covered. For your next step, check out these strategies on how to talk your way to getting the salary you deserve.

• Schedule a one-on-one meeting with your superior. Talk to your boss and state your case calmly and professionally. Not sure how? You can start by voicing out how much you value your job, then proceed to say that you feel that there’s a mismatch between your salary and the effort and skills you put into your role. Even better: Come prepared with facts that back up your claims and compile them for his/her review.
• Showcase your strengths and successes. Make it easier for your employer to realise your worth—and why you deserve a pay raise—by highlighting your contributions to the company. Don’t be shy to talk about your achievements, the important projects you’ve worked on, and the results you’ve generated, complete with concrete metrics.
• Be prepared with a Plan B. Since many businesses are still in recovery mode because of the pandemic, you have to be ready in case your request is denied or deferred for later. But don’t simply take no for an answer. In case a raise is not yet feasible yet you want to stay, negotiate for better benefits or ask for adjustments to your current work setup (i.e. more days for remote work). Moreover, get your employer to commit to revisiting the conversation later on. You may also start scouting for other options and see if you can make more at a different company. (Spoiler alert: Most likely, you can.)

Realising you are being underpaid may feel like a huge blow, but take comfort in the fact that you can easily choose to stop settling for less and take appropriate action to get what you’re worth. Also, don’t forget that Singapore offers some of the highest salaries in the world. In case things don’t go well with your current employer, a sea of opportunities await.

From how to know if you're underpaid to tips on work-life balance, you can give your career a boost with JobStreet. Get started by updating your JobStreet profile and searching for #JobsThatMatter. If you need more tips and suggestions, just head to our Career Resources Hub.