How to make management look into real inflation for salary budgets

Ayesha joined my readership recently and asked : “I would love to hear some suggestions on what to do when market inflation rates are far higher than what the official sources as well the generally accepted sources like the The Economic Intelligence Unit magazine report… and we have to convince the organization to allocate higher…

All you need to know : from compensation surveys to salary ranges and salary review

Frances, one of my readers, recently commented to me as follows : I have to create salary ranges and compare the current salary to market data. This will allow me to make the determination if the person’s pay is within the acceptable range. Year-end is approaching and I am starting to get more questions around…

Updating salary ranges… or not ?

When the time of salary review approaches, most Compensation managers will start preparing by reviewing the salary ranges in their organisation. Using data from compensation providers, we look at the midpoint, minimum and maximum of our salary ranges. Do they still reflect the market ? The first consideration should be “how do we define market”…

Criteria to decide employee eligibility to promotion : which ones do you use ?

As year-end is approaching, in many organisations, HR starts to receive the usual questions around promotion criteria : what shall we take into account when deciding which employees can be eligible for promotion? First let me clarify : by eligibility, I mean that the employee can be proposed by the manager for a promotion, not…

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…

How are salary reviews done ?

How are salary reviews done ? Is it done organisation wide (i.e all staff at once) or based on performance and other parameters ? This is a question that HR professionals as well as line managers are likely to hear numerous times. Here is a general overview. Most companies do salary reviews for all employees…

Increase allowances, not basic pay ?

  “Why do some organisations only increase allowances not basic pay at salary review ?”. This question was asked recently on LinkedIn, and even though the person asking is based in India, I thought I would answer for my readers based in the GCC. Review of the allowances At the company level, most often, there…