08/20/2026
One of the clearest signals in this year's compensation data:
Companies are planning median pay increases of 3.5%. Employees expect closer to 8.6%. And 61% of organizations have added AI-related responsibilities without adjusting pay to match.
That's not a one-time disconnect. It's an expectation mismatch that compounds quietly, over time until someone decides to leave.
The labor market is giving organizations a false sense of security. Voluntary turnover is at some of the lowest levels on record. But low turnover isn't the same as high engagement. Sometimes it just means people haven't left yet.
The organizations that recognize the difference are building the infrastructure to stay ahead of it, not waiting for the exit interview to find out what they missed.