Bad news. Your next raise is probably going to be disappointing.
Hi, I'm Matt Turner, the editor in chief of business at Insider. Welcome back to Insider Weekly, a roundup of some of our top stories.
On the agenda today:
- Brace yourself: Raises will probably suck next year.
- Elon Musk may have lost his Midas touch.
- Facebook insiders say the company is conducting "quiet layoffs."
- Beware, Florida homeowners. The worst is yet to come.
But first: Emily Canal, Insider's senior editor of entrepreneurship and careers, is giving us a behind-the-scenes look at a five-month project helping small-business owners navigate today's difficult labor market.
Let me know what you think of all our stories at email@example.com.
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Introducing Talent Insider
We are in a unique moment for entrepreneurship in the US, senior editor Emily Canal writes. In the past two years, a record-breaking number of people started their own businesses. However, the entrepreneurial boom gave way to the Great Resignation, and many small-business owners struggled to hire employees to help scale their new startups.
That's where Talent Insider comes in.
Our expansive series and interactive resources aim to help small-business owners navigate hiring and retention today. Here's what the package, which will continue into December, includes:
- Forty-five stories that aim to help founders tackle issues like hiring, retention, benefits, DEI, and scaling a business.
- A virtual event where HR leaders and entrepreneurs discussed how to manage today's challenging environment.
- An interactive quiz designed to test your ability to overcome a variety of hiring challenges.
- A mentorship program for five entrepreneurs, who were paired with experts to help them manage a talent-related issue they're facing.
We still have more stories in the works, including pieces on how to prevent burnout among employees, how to create employee-resource groups that attract new hires, and how to establish robust on-the-job training programs to retain workers.
Check out the full project here.
Don't expect a great raise this year
If you're hoping to receive a big raise within the next year or so, prepare to be disappointed. Recent surveys suggest companies are planning to raise salaries by only 4%, and with inflation at a whopping 8.3%, your paycheck is about to be worth a whole lot less.
Senior correspondent Aki Ito writes that, after adjusting for inflation, most employees will see their earnings shrink next year — meaning you'll work just as much, but your salary won't buy as much.
Aki explains why raises are going to be dismal.
Is Elon Musk starting to fall behind?
Elon Musk built his fortune on being first, senior correspondent Linette Lopez writes. He was early to see the potential of mass-producing electric cars and reusable rockets. But now that it appears he'll have to honor his agreement to buy Twitter, it's clear that Musk has fallen behind the times on two of his biggest bets: Twitter and Tesla.
The survival of his empire will depend on whether he can bring new light to parts of the market that have gone dark.
- Elon Musk stands to be the biggest loser in his deal with Twitter.
- A judge thinks Twitter whistleblower Peiter "Mudge" Zatko may have emailed Musk's attorney asking for a job months before going public with his claims.
Facebook begins 'quiet layoffs'
Meta, the company formerly known as Facebook, is undergoing "quiet layoffs" by shifting performance expectations, several employees told Insider.
Directors across the company were told last week that they should select at least 15% of their teams to be labeled as "needs support" in an internal review process. The move is broadly seen by workers as a "performance-improvement plan" — and a precursor to losing your job.
Here's everything employees told us about the quiet layoffs.
The worst is yet to come for Florida homeowners
Following Hurricane Ian, which killed more than 100 people, another storm is brewing for homeowners.
First, residents in high-risk areas of Florida are almost guaranteed to see their flood-insurance costs rise dramatically in the coming years. Second, home values could sink under the weight of higher ownership costs. Finally, researchers say the threat of hurricanes and flooding will only increase.
Here's what Florida homeowners are up against.
- 'Big Short' analyst says Florida home values could drop as much as 50% in some areas when buyers realize the true costs of flood protection.
This week's quote:
"I feel like I have my life, and I want to devote it to art and connecting with people and my ancestors. I want to work on being OK for that last moment of fleshy breath."
- Diane Guerrero, Insider's latest cover star
More of this week's top reads:
- Insiders say morale "sucks" at electric-vehicle startups like Rivian and Lucid.
- Even after he "blundered" layoffs, Better CEO Vishal Garg still believes he's the right person to lead the startup.
- Colleges don't want you to know that "early decision" is actually a rigged game.
- What influencers and marketers should learn from Kim Kardashian's $1.26 million SEC settlement.
- Insiders describe confusion and frustration about Hulu's future.
- A leaked Microsoft presentation shows how much US customers spend on its Azure cloud.
- Merrill Lynch is taking cues from dating apps as it tries to match more advisors with wealthy clients.
Plus: Keep updated with the latest business news throughout your weekdays by checking out The Refresh from Insider, a dynamic audio news brief from the Insider newsroom. Listen here tomorrow.
Curated by Matt Turner. Edited by Jordan Parker Erb, Hallam Bullock, and Lisa Ryan. Sign up for more Insider newsletters here.
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