The companies I've worked for have had periodic (every 6 or 12 months) performance evaluations with associated pay adjustments. The pay adjustment would be brok

The companies I've worked for have had periodic (every 6 or 12 months) performance evaluations with associated pay adjustments. The pay adjustment would be broken out into a cost-of-living increase (notionally tracking inflation) and a performance increase (or decrease I guess) based on the employee's performance evaluation. I'm sure it varies by employer, but this seems to be common in my area and industry at least. We do have unions in the US, though I've not worked in a union shop before. Union contracts vary, but I get the idea it's not uncommon for them to include pay adjustments based on inflation.