Do UK organisations use a formal merit matrix (performance rating x position-in-range) to differentiate pay increases?

51.6%No

51.6% of organisations in the lumi HR community answered “No” on formal merit matrix use (base: 254 UK organisations, 2026 H1).

Figures describe organisations in the lumi HR community, not a random sample of UK employers.

How UK organisations answered

Common, alternative and rare describe how each answer sits against the community: the most chosen answer is common; an answer chosen by fewer than one in five organisations is rare.

Definition

Whether pay increases are differentiated using a merit matrix that combines performance rating with position in the salary range. See the methodology for how the base is built, how not-applicable answers are handled, the public floor, and which organisations are excluded.