What happens if you ask for a pay rise and don’t get one?

Should you quit or hold out? A careers coach explains.

Hyping yourself up enough to ask for a pay rise is hard work, both logistically and emotionally. Of course, for some people (ahem, men…) this process comes fairly naturally. You put in the effort; you should be compensated.

But for others (myself included), it’s a semi-humiliating ritual where you’re forced to pitch yourself and prove your worth to your boss. And despite all your efforts and preparation, there is the very real possibility that you’ll be met with a blunt, “not right now”.

Looking for a new 9-to-5? Head to our Careers page for new listings daily. 

That’s not at all to dissuade anyone from asking. Pay rises are important not only for morale, motivation and recognising growth, they’re essential when it comes to keeping up with inflation and the rising cost of living. It’s also important to learn to back yourself in a professional environment.

However, asking for a raise unfortunately won’t always result in a pay rise. This can be due to countless factors, plenty of which may not have anything to do with you. Yet it does inevitably bring up the question: what should you do with a “no”? To help break it down, we spoke to careers coach Kate Richardson for advice on how to ask for a pay rise, and what to do if you’re not successful.

How to approach the conversation

It pays (mind the pun) to make sure you’re heading into the conversation feeling both optimistic and prepared. Doing the legwork in advance can help you present a solid case to your boss, and even if it doesn’t work out, it can help inform your decisions moving forward.

The first is getting a clear scope of the market. “Do your research so you understand comparable salaries in the marketplace and have data to support your ask,” explains Kate. “Talk to two or three recruiters to get their gauge on current salaries, ask peers, review industry salary surveys and do some research using tools like LinkedIn and ChatGPT.”

Rather than cornering them at the water cooler, it’s a good idea to give your boss a heads-up regarding what you want to talk about, whether through email or a calendar invite. “Consider the timing,” Kate says. “Also, remember some businesses might be doing it tough right now. So think about how your company is faring as a whole and what you might be walking into. Timing is probably the greatest advantage you can give yourself.”

And be prepared to talk yourself up. Kate’s suggestion is to articulate your value by quantifying your contribution as much as you can – note down your KPIs, write down some major wins you’ve had and detail how you’ve impacted key projects.

“We’ve all got an inbuilt negativity bias, which means we tend to remember the things we haven’t done so well and forget the good things we’ve achieved,” she says. In that instance, her recommendation is to keep a ‘Legend Diary’, where you can log small wins and positive feedback. “Tracking these kinds of small achievements really helps with motivation and confidence… and come review time? You’ve got a host of material to support your conversation.”

How to deal with a pay rise rejection

It can naturally feel a little defeating if, despite your effort, your request for a pay rise isn’t successful. In the moment, you might feel flustered, frustrated, angry or even upset. But Kate’s advice is to keep your poker face and avoid letting your emotions get the better of you.

“Assume good intentions,” she adds. “Remember that your boss might still be invested in rewarding you but sometimes decisions like this go beyond their control.”

In the moment, she says you can genuinely thank your manager for their consideration, reiterate that it’s important to you and ask when you can revisit the conversation. It’s also an opportunity to find out what you can do to give yourself the best chance of a positive outcome next time.

It’s also always worth making sure you’re across your local union. Whether you work in retail, health, teaching, media or another industry, there are over 35 unions across Australia that can help give you tailored advice regarding pay, entitlements and more.

You didn’t get a pay rise, now what?

Although your manager’s hands might be tied in terms of your salary, sometimes it’s possible to negotiate another kind of reward or promotion. Think about what’s important to you, and what your organisation will be likely to support, Kate suggests.

“For example, you could identify a professional development opportunity that would benefit both you and your employer and ask them to invest in that.” This could involve going to a conference or doing a short course to help you upskill. Alternatively, you might be able to bargain for additional annual leave days, increased flexibility or even a title change.

When to start looking for a new role

If you’re happy in your current job, then it might be worth staying put and focusing on ways you can grow and develop within the company. Think about what your ideal timeline looks like, and whether you feel comfortable pushing back the idea of a pay rise another six or so months.

However, as Kate says, if this is the third time you’ve asked, you can’t get a straight answer on timing or you know you’re underpaid, then it’s a different story and might be worth looking for opportunities elsewhere.

“Sometimes people get carried away with not getting the pay rise or a promotion and fall into the ‘grass is always greener’ trap,” Kate adds. “It’s useful to think about how you define success and, therefore, what progress looks like.” For example, progress might be about a role that gives you better long-term opportunities, rather than a promotion.

It’s a push and pull between backing yourself and knowing when to pause, and sit tight. Though it might understandably feel like a setback, it’s also a chance to clarify and reframe your goals. Rather than letting it affect your self-confidence, let it propel you into action – whether that’s a renewed sense of motivation in your current role, or the final push you need to search for a new job.

For more advice on pay rise rejection, try this.