I have only worked at one company and this is my 7th year. Each year I received a 1.5% raise (to keep up with inflation). Recently I looked around and discovered how underpaid I am compared to the current market rate for someone with my skills/experience.
I had a discussion with my boss to request a raise to be more in line with market standards. Knowing that my 7 years of knowledge on the projects I've worked on are critical to the company's business, I thought this would be an easy discussion, but he turned down my request saying that the company does not have budget for a raise.
Instead, he has offered me a bonus contingent on me training a more senior developer (in India, while I am in Europe) to make the organization less dependent on me.
I am not interested in resigning if possible, but I would like to know what tactics, if any, may be effective in turning a one-time bonus in to a base salary raise more in line with market compensation.
Question: Does anyone have any experience turning a one-time bonus in to a larger base salary package, or any other strategy to turn this situation in to my favor?