HR Glossary
What is Cost of Living Adjustment (COLA)?
A pay increase tied to inflation rates or regional cost differences, designed to maintain employees' purchasing power as the price of goods and services rises over time.
Why it matters in hiring
Cost of Living Adjustment (COLA) comes up whenever teams compare candidates, set policy or report on people data. Getting the definition right keeps decisions consistent, which is the same reason springhire scores every applicant against the same criteria rather than on impression.
Related terms starting with C
- Continuous Feedback
- Continuous Performance Management
- Contract Labour Act
- Cost Per Hire
- Cost to Company (CTC)
- Cover Letter
- CPF Contribution (Singapore)
- CPP - Canada Pension Plan (Canada)
Part of the springhire HR glossary, 1,150+ HR, payroll and recruiting terms defined. Free, no signup.
