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Colleague Pay Discrepancy

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aussieinsingapore55
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Colleague Pay Discrepancy

Post by aussieinsingapore55 » Sat, 22 Apr 2023 4:51 pm

Hi guys,

I recently discovered (unintentionally) that my colleague in the exact same role as me has a base salary which is quite a bit larger than mine (SGD 8,000 vs SGD 11,500 per month). He is 5 years older than me, same nationality, and certainly less competent in the role.

Needless to say this is totally unfair and makes me feel very bitter and undervalued.

Do you think I am within my rights to be upfront with my manager and tell him I am aware of the discrepancy, and explain to him how I feel about it?

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Re: Colleague Pay Discrepancy

Post by sundaymorningstaple » Sat, 22 Apr 2023 8:14 pm

aussieinsingapore55 wrote:
Sat, 22 Apr 2023 4:51 pm
Hi guys,

I recently discovered (unintentionally) that my colleague in the exact same role as me has a base salary which is quite a bit larger than mine (SGD 8,000 vs SGD 11,500 per month). He is 5 years older than me, same nationality, and certainly less competent in the role.

Needless to say this is totally unfair and makes me feel very bitter and undervalued.

Do you think I am within my rights to be upfront with my manager and tell him I am aware of the discrepancy, and explain to him how I feel about it?
How long have both of you been with the company? His age is irrelevant as is his nationality. What also matters (or not) is how long he's been with the company and did he hold out for more money and not short-sell himself when he got hired initially. If none of the above, maybe you have a personality clash with your supervisor/manager. There's lot's of reasons as to why the discrepancy may exists. If you run to the management like a pouting child, they may view you as a problem child. Then you might not be making anything there. Just sayin'.

If you think they are being unfair, just resign before you stick your foot in your mouth and get fired. They can pay anybody any amount the person is willing to accept. You are not in Australia working in a Union Shop. Here you carry your own weight and not a union contract. Output isn't the only thing that keeps you on the job. Lot's of other factors are weighed as well, not always directly work output related.

What will happen when you confront your manager and he tells you there ISN'T any discrepancy and each person is paid what he is worth overall to the company. Then how?
SOME PEOPLE TRY TO TURN BACK THEIR ODOMETERS. NOT ME. I WANT PEOPLE TO KNOW WHY I LOOK THIS WAY. I'VE TRAVELED A LONG WAY, AND SOME OF THE ROADS WEREN'T PAVED. ~ Will Rogers

aussieinsingapore55
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Re: Colleague Pay Discrepancy

Post by aussieinsingapore55 » Sat, 22 Apr 2023 8:56 pm

sundaymorningstaple wrote:
Sat, 22 Apr 2023 8:14 pm
aussieinsingapore55 wrote:
Sat, 22 Apr 2023 4:51 pm
Hi guys,

I recently discovered (unintentionally) that my colleague in the exact same role as me has a base salary which is quite a bit larger than mine (SGD 8,000 vs SGD 11,500 per month). He is 5 years older than me, same nationality, and certainly less competent in the role.

Needless to say this is totally unfair and makes me feel very bitter and undervalued.

Do you think I am within my rights to be upfront with my manager and tell him I am aware of the discrepancy, and explain to him how I feel about it?
How long have both of you been with the company? His age is irrelevant as is his nationality. What also matters (or not) is how long he's been with the company and did he hold out for more money and not short-sell himself when he got hired initially. If none of the above, maybe you have a personality clash with your supervisor/manager. There's lot's of reasons as to why the discrepancy may exists. If you run to the management like a pouting child, they may view you as a problem child. Then you might not be making anything there. Just sayin'.

If you think they are being unfair, just resign before you stick your foot in your mouth and get fired. They can pay anybody any amount the person is willing to accept. You are not in Australia working in a Union Shop. Here you carry your own weight and not a union contract. Output isn't the only thing that keeps you on the job. Lot's of other factors are weighed as well, not always directly work output related.

What will happen when you confront your manager and he tells you there ISN'T any discrepancy and each person is paid what he is worth overall to the company. Then how?
Thanks for the feedback. I have been at the company for a few months longer than him (but fairly similar). Evidently he did hold out and negotiate harder than I did (which I do not personally begrudge him for), but now I know he was able to negotiate that salary, why shouldn't I attempt to do the same? After all, knowledge is power right?

Definitely not a personality thing. I have a great relationship with my manager and he respects me. He just hired me at a 'bargain' as I was naive at negotiating (not his fault either), hence why I am asking if I should attempt to re-negotiate now (or at my next pay review).

I do not want to quit as I really enjoy the job. To be clear, my intention was never to 'confront' my manager and act like a spoiled child. Of course I would approach in a professional and sincere manner, but my question was more to the point of: is it permissible to reference the salary of a co-worker in a pay review?

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Re: Colleague Pay Discrepancy

Post by smoulder » Sat, 22 Apr 2023 9:02 pm

I had this situation over 10 years ago when I was working in India in a big US multinational. I was then managing a team and the HR therefore gave me the salary ranges I could hire in. I found that the salary ranges were very close to my own salary. So I asked for the salary range for my own level which was given to me. I found out that I was barely scratching the bottom of the barrel.

2 things then happened.

1. I spoke with my boss about it and I told him I was unhappy. He acknowledged it and referred the case to the HR country head who basically told me that he would initiate a correction. However he said that there were no guarantees and it was up to the "higher ups" discretion.

2. In parallel, I had also been searching for a job change and not long after I had spoken with the HR, I was holding an offer for a big Indian tech company - they were offering me 60 percent more than my base salary and that put me right in the salary band I was supposed to be in at the US MNC. I was initially confused about what to do because I was under the impression that my role at my then employer was "fantastic" and I wasn't sure about how things would turn out at this Indian company. So I basically emailed the new company and told the recruiter that I wouldn't be taking the job.

And then it struck me - even though someone had initiated a correction, they had plainly told me that there were no guarantees. The best way to get a better salary isn't always to moan to management and HR. Inevitably, the best way is to search for a new job.

So 2 months after emailing this new company to decline their offer, I back tracked. I emailed them again and asked if they would still hire me. They said yes.

The rest was history. 2 months later, I started my new job - another 2 months after starting there, they moved me to Singapore. 10 years later and I'm now doing alright here!

So moral of the story is look for a new job - like SMS mentioned, there is a high chance that grumbling to your boss will just make you look bad.

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Re: Colleague Pay Discrepancy

Post by aussieinsingapore55 » Sat, 22 Apr 2023 9:06 pm

smoulder wrote:
Sat, 22 Apr 2023 9:02 pm
I had this situation over 10 years ago when I was working in India in a big US multinational. I was then managing a team and the HR had to therefore give me salary ranges of I could hire. I found that the salary ranges were very close to my own salary. So I asked for the salary range for my level which was given to me. I found out that I was barely scratching the bottom of the barrel.

2 things then happened.

1. I spoke with my boss about it and I told him I was unhappy. He acknowledged it and referred the case to the HR country head who basically told me that he would initiate a correction. However he said that there were no guarantees and it was up to the "higher ups" discretion.

2. In parallel, I had also been searching for a job change and not long after I had spoken with the HR, I was holding an offer for a big Indian tech company - they were offering me 60 percent more than my base salary and that put me right in the salary band I was supposed to be in at the US MNC. I was initially confused about what to do because I was under the impression that my role at my then employer was "fantastic" and I wasn't sure about how things would turn out at this Indian company. So I basically emailed the new company and told the recruiter that I wouldn't be taking the job.

And then it struck me - even though someone had initiated a correction, they had plainly told me that there were no guarantees. The best way to get a better salary isn't always to moan to management and HR. Inevitably, the best way is to search for a new job.

So 2 months after emailing this new company to decline their offer, I back tracked. I emailed them again and asked if they would still hire me. They said yes.

The rest was history. 2 months later, I started my new job - another 2 months after starting there, they moved me to Singapore. 10 years later and I'm now doing alright here!

So moral of the story is look for a new job - like SMS mentioned, there is a high chance that grumbling to your boss will just make you look bad.
Thanks for the feedback. That's a cool story!

I should have been more clear - I wasn't planning to grumble to the boss, but is it acceptable to use the salary of a co-worker as a benchmark when it comes to pay review / renegotiation season?

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Re: Colleague Pay Discrepancy

Post by smoulder » Sat, 22 Apr 2023 11:39 pm

In a sense that is exactly what I did, except I had the salary ranges from HR themselves. And even then, they wouldn't guarantee that they would pay me fairly. If you are already in the range for your role, there's even less chance in my opinion that they are going to narrow the gap between you and your colleague. To put it bluntly, they probably already think they are paying each of you fairly.

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Re: Colleague Pay Discrepancy

Post by sundaymorningstaple » Sun, 23 Apr 2023 1:42 am

Basically it just means if HR is going to hire you they are going to pay you what YOU think you're worth. It's not HR's job to find their payroll pain threshold but to only pay what it takes for the applicant to sign on the dotted line. Therefore it cannot be blamed on HR if you subsequently learned you lowballed yourself.
SOME PEOPLE TRY TO TURN BACK THEIR ODOMETERS. NOT ME. I WANT PEOPLE TO KNOW WHY I LOOK THIS WAY. I'VE TRAVELED A LONG WAY, AND SOME OF THE ROADS WEREN'T PAVED. ~ Will Rogers

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Re: Colleague Pay Discrepancy

Post by YYCole » Sun, 23 Apr 2023 10:25 am

aussieinsingapore55 wrote:
Sat, 22 Apr 2023 4:51 pm
Hi guys,

I recently discovered (unintentionally) that my colleague in the exact same role as me has a base salary which is quite a bit larger than mine (SGD 8,000 vs SGD 11,500 per month). He is 5 years older than me, same nationality, and certainly less competent in the role.

Needless to say this is totally unfair and makes me feel very bitter and undervalued.

Do you think I am within my rights to be upfront with my manager and tell him I am aware of the discrepancy, and explain to him how I feel about it?
I think it is relatively common even in MNCs like banks. As the local say it well, can dont pay will dont pay.

You have your rights to ask your manager, but also try to have an out in the meantime

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Re: Colleague Pay Discrepancy

Post by therat » Sun, 23 Apr 2023 10:32 am

aussieinsingapore55 wrote:
Sat, 22 Apr 2023 9:06 pm
smoulder wrote:
Sat, 22 Apr 2023 9:02 pm
I had this situation over 10 years ago when I was working in India in a big US multinational. I was then managing a team and the HR had to therefore give me salary ranges of I could hire. I found that the salary ranges were very close to my own salary. So I asked for the salary range for my level which was given to me. I found out that I was barely scratching the bottom of the barrel.

2 things then happened.

1. I spoke with my boss about it and I told him I was unhappy. He acknowledged it and referred the case to the HR country head who basically told me that he would initiate a correction. However he said that there were no guarantees and it was up to the "higher ups" discretion.

2. In parallel, I had also been searching for a job change and not long after I had spoken with the HR, I was holding an offer for a big Indian tech company - they were offering me 60 percent more than my base salary and that put me right in the salary band I was supposed to be in at the US MNC. I was initially confused about what to do because I was under the impression that my role at my then employer was "fantastic" and I wasn't sure about how things would turn out at this Indian company. So I basically emailed the new company and told the recruiter that I wouldn't be taking the job.

And then it struck me - even though someone had initiated a correction, they had plainly told me that there were no guarantees. The best way to get a better salary isn't always to moan to management and HR. Inevitably, the best way is to search for a new job.

So 2 months after emailing this new company to decline their offer, I back tracked. I emailed them again and asked if they would still hire me. They said yes.

The rest was history. 2 months later, I started my new job - another 2 months after starting there, they moved me to Singapore. 10 years later and I'm now doing alright here!

So moral of the story is look for a new job - like SMS mentioned, there is a high chance that grumbling to your boss will just make you look bad.
Thanks for the feedback. That's a cool story!

I should have been more clear - I wasn't planning to grumble to the boss, but is it acceptable to use the salary of a co-worker as a benchmark when it comes to pay review / renegotiation season?
many many year back.
My friend told me what happen in her company
2 colleagues (A and (B)

(A) happen to know (B) salary. And find out (B) having higher salary.
(A) ask manager .. why (B) having higher salary.

Conclusion - HR fire both (A) and (B).

Why (B)? Because (B) told (A) his salary.

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Re: Colleague Pay Discrepancy

Post by tiktok » Sun, 23 Apr 2023 11:20 am

Unfortunately in most companies, once you mention you're unhappy with your salary, irreversible damage is done. You're now an employee who is unsatisfied and uncommitted. Yes, it's unfair, but your only chance of a serious salary negotiation is at time of hiring.
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Re: Colleague Pay Discrepancy

Post by x9200 » Sun, 23 Apr 2023 12:02 pm

aussieinsingapore55 wrote:
Sat, 22 Apr 2023 8:56 pm
Thanks for the feedback. I have been at the company for a few months longer than him (but fairly similar). Evidently he did hold out and negotiate harder than I did (which I do not personally begrudge him for), but now I know he was able to negotiate that salary, why shouldn't I attempt to do the same? After all, knowledge is power right?

Definitely not a personality thing. I have a great relationship with my manager and he respects me. He just hired me at a 'bargain' as I was naive at negotiating (not his fault either), hence why I am asking if I should attempt to re-negotiate now (or at my next pay review).

I do not want to quit as I really enjoy the job. To be clear, my intention was never to 'confront' my manager and act like a spoiled child. Of course I would approach in a professional and sincere manner, but my question was more to the point of: is it permissible to reference the salary of a co-worker in a pay review?
One more point to consider, pretty often it may also depend on the offset from the time you both entered the job market. Even if you are holding similar position but your colleague had 5 more years of experience before he joined your company (and you had, e.g. 1y only) he might have landed the job with higher salary grade.

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Re: Colleague Pay Discrepancy

Post by aussieinsingapore55 » Sun, 23 Apr 2023 8:54 pm

tiktok wrote:
Sun, 23 Apr 2023 11:20 am
Unfortunately in most companies, once you mention you're unhappy with your salary, irreversible damage is done. You're now an employee who is unsatisfied and uncommitted. Yes, it's unfair, but your only chance of a serious salary negotiation is at time of hiring.
It's interesting you say that the time of hiring is the only time to negotiate salary. My thought process is that if they can afford to pay him that salary, then why wouldn't they be willing to pay me the same considering I am a better performer?

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Re: Colleague Pay Discrepancy

Post by tiktok » Sun, 23 Apr 2023 9:03 pm

The thing is, when you got hired the company valued you at x. It's really hard to get revalued at x + y. For one thing it makes them look like they made a mistake. As I said, it's unfair and unreasonable too. At the end of the day, employers hold the cards... unless there's a union.
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Me no expat. Me foreigner.

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Re: Colleague Pay Discrepancy

Post by smoulder » Sun, 23 Apr 2023 11:38 pm

aussieinsingapore55 wrote:
Sun, 23 Apr 2023 8:54 pm
tiktok wrote:
Sun, 23 Apr 2023 11:20 am
Unfortunately in most companies, once you mention you're unhappy with your salary, irreversible damage is done. You're now an employee who is unsatisfied and uncommitted. Yes, it's unfair, but your only chance of a serious salary negotiation is at time of hiring.
It's interesting you say that the time of hiring is the only time to negotiate salary. My thought process is that if they can afford to pay him that salary, then why wouldn't they be willing to pay me the same considering I am a better performer?
How sure are you that you are a better performer? Have you seen his performance rating? Or is that your own assessment?

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Re: Colleague Pay Discrepancy

Post by PNGMK » Mon, 24 Apr 2023 9:51 am

aussieinsingapore55 wrote:
Sun, 23 Apr 2023 8:54 pm
tiktok wrote:
Sun, 23 Apr 2023 11:20 am
Unfortunately in most companies, once you mention you're unhappy with your salary, irreversible damage is done. You're now an employee who is unsatisfied and uncommitted. Yes, it's unfair, but your only chance of a serious salary negotiation is at time of hiring.
It's interesting you say that the time of hiring is the only time to negotiate salary. My thought process is that if they can afford to pay him that salary, then why wouldn't they be willing to pay me the same considering I am a better performer?
I agree with tiktok. Always negotiate HARD for a good starting salary so you don't regret later - I've negotiated so hard before that my hiring manager has come to me later and thanked me for pushing up the band I was in so he also goes up. The only significant bumps up you can get along the way are band changes (from senior to exec for example). In this case you have zero chance of a 3k plus increase with no band change.
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