I don’t get how corporate is so detached that they’re making these policies. I left my last job about a year ago because a competitor offered 30% more. My manager said they could do 3% and, with regular raises, I’d be at that amount in 10 years. I know his hands were tied and he was just grasping at any reason he could come up with to keep me, but that just makes me even more incredulous that companies are crafting policies like this.

In my experience, a lot of management positions are filled by people that are meeting a need of feeling a sense of power and control over others. They don’t care about the company anymore than they have to to meet this need.

Also, it’s possible that they’re worried that if they give you a raise, you’ll tell others and they will demand one as well. They rather hire a new person without social ties to other workers that wont share what their salary is.