Please remember that the people do NOT live in/on the USA economy. So you want to raise them because the imported items you use cost more but they don't your employee more? So you really think that you can lower their rate of pay when the dollar goes down? If this is what you are after get them to agree to be paid in USD equilivent. The USD is massively over valued and economist everywhere think it is going back down. It has been at historic highs against world currencies for two years now and has increased more with more light on the horizon in the last co,uple of months. Ask your help if you can lower their salary when the rate goes back down. I can guess what the answer will be. Why change it only when the dollar rate changes, change it with the euro too. If you wan to be a reasonable person watch Mexico's announced inflation rate available in Janurary and adjust wages for inflation 2-5%. Having a company that had 1oo+ persons for years I can tell you that the business schools recommend that raises be based on increased performance, or better performance. Rare is the employee who is perfect. So the only possible justification for a raise is inflation or better performance. More work in less time perhaps?