How do I handle an employee asking for a raise?

By Ask a Shop OwnerUpdated Hiring

Short answer

Don't decide in the meeting. Thank them, ask what they're basing it on, and give a real answer within a week.

Buy time without dodging

'I take this seriously. Give me a week to look at the numbers and our pay structure, and I'll come back with a real answer.' That sentence prevents an emotional yes you regret and an emotional no that costs you a great employee.

Then do the math

Compare to local market, compare to what they actually produce, ask if you'd be sad if they quit Friday. Come back with a yes, a no, or a path: 'Not today, here's exactly what gets you there in six months.'

Ask your version of this question

This is one business owner-tested take. Your shop size, trade, and team change the answer. Ask the exact version inside Ask a Shop Owner and get a response grounded in how owners like you actually handled it.

Now run it against your numbers.

This answer is written for shops in general. Inside Ask a Shop Owner it becomes your answer: your revenue, your crew, your market, your history. Ask "How do I handle an employee asking for a raise" and get the version that accounts for what you already told us.

Was this helpful?

One click. It tells us which answers to deepen and which questions we still owe you.

Not ready for a trial? Take the scripts with you.

Leave your email and we send three short notes over the next week showing how owners used answers like this one on a real decision. No newsletter, no drip forever.

Three emails, then it stops. Unsubscribe in one click. We never sell your email address.

Go deeper on the next decision

Scripts, numbers, and templates owners reach for right after this one.