Four collective tactics to deal with pay compression

Today, I will share some of my favorite ideas on how to address pay compression in a systematic, collective manner. This is the third and final part in my mini-series on pay compression, which was initiated by a question from one of my subscribers. The first article covered how to deal with pay compression at…

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…

The 5 questions to test the validity of a statistical analysis

In this instalment of Sunday Skills, I want to direct you to a podcast from Stephanie Thomas at The Proactive Employer. What to do when your results are statistically (in)significant lasts about 15 minutes and you won’t regret spending this quarter of an hour listening to Stephanie expand on the 5 questions you should ask…

Why the big pay gap between managers on the same grade?

In my career in Compensation & Benefits, I have often heard this question or a variation upon it : I see managers getting twice the pay of other managers from the same group and same job grade… Why is this, and how can you explain it ? This is a fair question on the differences…

Pay transparency for all employees in some US government entities

The Port Authority of New York and New Jersey publishes the salaries of its 6,777 employees on its website. The decision came after some criticism about how public money is spent and some controversy about payroll in this organisation. When I read this article, I have to admit being impressed by the level of transparency…

How many points on your performance rating scale ?

In this instalment of Reader Question, I deal with a common issue when designing the performance appraisal system. I was asked recently about the number of points you should have on the rating scale for your performance management system. Which number is right ? 3 ? 4 ? 5 ? or even 6 or 7…