merit raise

merit raise definition - business

merit raise

An increase in pay based on job performance. For example, an employer may award employees a cost-of-living raise of 3% plus a merit raise of from 0% to 4%. Merit raises are designed to reward and retain employees who exhibit superior job performance.

The American Heritage® Dictionary of Business Terms Copyright © 2009 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.

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