Essay Undergraduate 1,555 words

Arguing for a Pay Rise: Employee Value and Economic Reality

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Abstract

This paper presents a persuasive case for granting a pay increase to a hairdresser, balancing employee and employer perspectives. The argument rests on three main pillars: the employee's demonstrated value through superior customer service and repeat business generation, the necessity of wage increases to maintain purchasing power against inflation, and the employer's improved profitability despite rising costs. The paper acknowledges employer concerns about cost control while demonstrating that increased productivity and higher prices have offset inflationary pressures, making a wage increase both deserved and economically justified.

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What makes this paper effective

  • Balanced argumentation: The paper systematically presents both employee and employer perspectives, strengthening rather than weakening its central claim by acknowledging legitimate counterarguments.
  • Concrete workplace context: Using a hair salon as the specific example makes abstract wage principles tangible and relatable, grounding the argument in real business dynamics.
  • Multi-layered justification: The paper builds its case on three distinct foundations (performance value, inflation necessity, and profitability), so the argument survives scrutiny of any single component.
  • Ethical and economic framing: By addressing both the practical financial case and the ethical dimension of wage stagnation, the paper appeals to multiple employer motivations.

Key academic technique demonstrated

This paper exemplifies the rhetorical strategy of concession and rebuttal. Rather than ignoring or dismissing employer concerns about cost control and the general obligation to perform one's job, the author acknowledges their validity explicitly, then demonstrates why those concerns do not ultimately outweigh the case for a raise. This technique is more persuasive than simple assertion because it shows intellectual honesty and prevents the audience from dismissing the argument as one-sided.

Structure breakdown

The paper follows a classical persuasive structure: introduction (thesis and context), three evidence sections (performance value, inflation necessity, employer financial position), and synthesis conclusion. Sections 2–4 build the employee's case; sections 5–7 address the employer's financial reality while demonstrating it does not negate the raise justification. The final section unifies both perspectives, positioning the pay increase as mutually beneficial.

Introduction: The Case for Higher Wages

It is understandable that employees will request wage increases, especially when a significant amount of time has passed since salary was last negotiated. It is also understandable that business owners, particularly owners of smaller businesses such as hair salons, will want to control their costs, with wages being one of the main operating outlays. This document is a request for a pay rise, demonstrating how and why a pay rise is both deserved and necessary.

The Service Value: Quality and Customer Retention

A hair salon sells a service: the cutting and styling of hair. However, customers do not simply buy the material aspect of the service; they are buying the experience of having their hair done and the psychological satisfaction associated with the service and the way they feel afterward. Quality of service is wholly reliant on the skills of the staff looking after them—not only the ability to cut and style hair, but the ability of the hairdresser to make the client feel comfortable and welcome.

It is this feeling of satisfaction that will ensure customers keep coming back, and a hairdresser relies on repeat business. Providing this type of service has been the cornerstone of my work ethic: excellent hairdressing skills accompanied by the social skills and attention to detail that make every customer feel special. This attention to detail has resulted in my services adding value to the business; I have a very high level of repeat customers and also gain new customers due to positive word of mouth and good reviews of my work on social media sites. This all adds value to the hair salon, helping to ensure that there is a good reputation and adding to that reputation, as well as generating more business, which creates direct value for the firm and its owners.

From the perspective of an employer, the provision of good service using excellent hairdressing and customer skills may be seen as simply part of the job description; it may have been a reason why an individual is hired and why they are maintained in a position. From an employer's perspective, it may be argued that simply doing one's job is not sufficient reason to grant a pay increase.

Employer Perspective and Counterarguments

In addition, many of the aspects of the service that help the customer feel comfortable and wish to return are not only down to the hairdresser; the salon owner has to provide a comfortable and inviting environment and ensure the atmosphere is conducive to the business. This all takes investment and constant attention.

The arguments of the employer are correct; the feeling and value of service is related to the overall experience. However, while employees are paid for providing a service and doing a job, not all employees are able to offer the service at the same level of excellence. Just as one would expect to pay more for a four-star meal in a restaurant compared to a fast-food takeaway, customers expect to pay more for experienced and qualified hairdressers compared to trainees.

Employee Performance and Relative Compensation

Likewise, it is reasonable to pay the best employees more than poorer performers; they add more value and are often more productive. Indeed, if a good employee feels they are being undervalued, this may undermine motivation and result in lower levels of effort and productivity due to the feeling of inequity. Conversely, strategies that demonstrate the employer appreciates the work and performance of the employee, such as pay rises, will help support a good employment relationship and in turn support high levels of motivation and productivity. Therefore, an employee who is adding value in excess of that added by the "average" employee deserves to be recognized and rewarded for their achievements.

The need for a pay rise in terms of general environmental changes can also be considered. The current pay rate has been in place for some time; but as time goes by, inflation pushes up the cost of goods and the cost of living. Rising prices erode the real value of money; a wage that was negotiated a year ago will not buy the same amount of goods or pay for the same level of service today as it would have obtained twelve months ago.

Inflation and the Real Value of Money

The issue of a wage rise needed to maintain the real value of money is important not only as a theoretical or ethical issue; it is very important for an employee's quality of life. If the cost of goods and services needed is increasing and the real value of the wage is decreasing, it means that the employee will need to look at what they can afford and what may be becoming unaffordable. If an employee is at a very senior level in an organization where they have a very high wage, the failure to gain a wage rise is unlikely to have a great impact, as they may have a high level of disposable income and undertake a high level of discretionary spending.

However, for a hairdresser working eight hours a day, the wage level is not high to start with, and the failure to gain a wage increase can have a significant impact. This impact is then magnified when the failure to gain an increase will impact not only on the employee, but also their family, where children may suffer as a result of wages failing to keep pace with inflation.

Therefore, it may be argued that simply to ensure the wages of an employee remain at the same level in terms of overall value, pay rises should be given on a regular, usually annual basis. Failure to grant rises that at least match the increase in the cost of living results in the equivalent of a pay cut. This can also be seen as an ethical issue: how ethical is it for an employer to allow employees to suffer as a result of inflation? The concept is well known, and it may be argued it is well recognized, as wage rises linked to inflation will often form part of collective wage negotiations with larger employers and are frequently seen in public sector jobs.

Employer Costs and Business Constraints

The perspective of employers also needs to be considered. If employees see a decrease in the real value of their wages as a result of inflation, it may also be argued that employers suffer from the same issue; the costs associated with business are also increasing. The cost of hairdressing and salon supplies has risen over the last year, and it is also likely that other overhead costs such as insurance have increased.

With the difficult economic situation in the country and the recovery from the recession still taking time to be fully felt by businesses, it is also understandable that many business owners have not been able to pass on all of the increasing costs to the customers. Wages may be seen as one area in which there is the potential to constrain costs, especially if there are no pay rises written into the contract. It may also be one of the easiest areas to constrain costs; after all, one cannot call a utility company and try to negotiate a different rate for electricity, and if costs are not sufficiently controlled, the business may not survive and then there would be no job with any wage for an employee.

Productivity Gains and Profitability Analysis

With costs increasing for the employer and the inability to pass on all the costs to the customers, there may be some grounds to argue for the employer to restrain wage rises. However, in the case of the hair salon, while costs have increased, there have also been some increases in prices, so at least some of the costs have been passed onto the customers. In addition, while the price rises have been constrained, there has been a significant increase in the overall level of business without the need to employ more staff.

The higher level of business has resulted in an increased level of productivity, so the salon is making more money per employee than in the past, which means the proportional cost of wages has decreased. Therefore, although there has been inflation, the real cost of wages has not increased to the firm, as prices have increased and employees are generating more revenue and more profit than in the past. Just to keep pace with inflation makes a pay rise necessary.

Conclusion: Balancing All Perspectives

Overall, a pay rise is deserved due to the increased value that is created for the hair salon by the excellent hairdressing and associated skills, demonstrated by the high level of repeat business that is gained and new business that comes in as word of mouth from the single employee. In addition to this, there is also a strong argument for a pay rise simply to maintain the value of the wages in real terms. Therefore, it is argued that the pay rise granted should reflect the added value created as well as the cost of living increase, and is beneficial for the employer not only in terms of generating goodwill from the employee and satisfying their need to provide for the family, but as part of a pattern of ethical behavior.

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Key Concepts in This Paper
Pay negotiation Service quality Customer retention Inflation impact Real wages Employee productivity Business profitability Employment ethics Cost control Repeat business
Cite This Paper
PaperDue. (2026). Arguing for a Pay Rise: Employee Value and Economic Reality. PaperDue. https://www.paperdue.com/study-guide/arguing-pay-rise-employee-value-195172

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