Definition
An employee whose salary exceeds the maximum of their pay range, usually protected but not eligible for raises until the range catches up. Congratulations, you've hit the salary ceiling!
Example Usage
I'm red-circled, which means I'm maxed out on pay and my only options are promotion, lateral move, or quiet desperation.
Origin
Part of compensation terminology using color-coding from the 1970s-1980s
Fun Fact
Red-circled employees are often considered retention risks because they have little financial incentive to stay without a promotion.
Source: Compensation administration terminology
Related Terms
Translate This Term
See “red-circled” in Corporate Speak, Gen-Z Slang, Pirate Speak, and more.
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