Two tactics to deal with pay compression

Two weeks ago I described pay compression and, at the request of one of my readers, gave some advice on how to deal with it at the time of recruitment. Today I will go through 2 tactics around how to deal with pay compression at the individual, one-off level. I will cover collective tactics in…

Recruiters and the pay compression challenge

In today’s Reader Question I would like to thank Miatta, one of my newer subscribers, for sending me the following comment on pay compression : “My main struggle in Comp and Ben has been why it is difficult for recruiters or managers to understand the importance of why compensation professionals  insist on making salary offers within certain…

Case study – refusing to increase base pay further

I have created, over the years, a “swipe file” of C&B situations I have faced and how I reacted to them. The idea is that I keep a copy of the more seminal communication pieces I have written, mostly one-to-one, not the “all employees” emails that we all have to spend from time to time.…

Ten steps for building a salary structure

Today, I am delighted to host a post which was originally published by Warren Heaps at International HR Forum. “Ten steps for building a salary structure” will give you an overview of the different actions and choices you need to make when creating your salary structure for the first time. It provides background thinking on…

The Netflix Employee Value Proposition

When I was preparing for my previous post on Netflix, my attention was drawn to a small part of Reed Hastings’ interview. He said : “We care about great work. This requires thoughtful, mature high-performance employees.” (emphasis is mine). So I went on a path of discovery to try and find more information about the…

Don’t like handcuffs ? Join Netflix !

Reed Hastings is the co-founder and CEO of Netflix, which provides live streaming TV and video shows from the internet on a monthly subscription basis in the USA, Canada, UK and Ireland. A great concept and one that led to the ultimate doom of the local video/DVD rental business (think Blockbusters). In How to set…

3 factors influencing the promotion rate for your organisation

As we got into salary review time or mid-year reviews, colleagues have asked me, almost every year, the same question about the promotion rate : “What is a reasonable benchmark for the number of employees to be promoted each year ?” Now, bear with me please because my answer is one that usually is not…