top 5 comp lessons from 2013
DESCRIPTION
2013 was a year of ups, downs, and shutdowns. The impact of the Affordable Care Act on HR is still unclear. Some companies are pulling free of the recession and employees have started moving around more than in the past couple of years. Even with all the uncertainty there are some key lessons we can learn. In an uncertain time compensation plans and strategies need to be flexible. IMykkah Herner, Manager of Professional Services at Payscale, reviews the top 5 ways you can add flexibility into your programs.TRANSCRIPT
www.payscale.com
14,000 Positions 3000 Customers 11 Countries
250 Compensable Factors 40 Million Salary Profiles
www.payscale.com
Agenda
Context of 2013
Top 5 Lessons (in flexibility)
1. Know how you’re doing relative to the market at all times
2. Be creative with how you slice your compensation cake
3. Get wise about pay for your hot jobs
4. Train for success
5. React to market changes with multiple strategies
Immediate Action(s)
Context of
2013
www.payscale.com
Some key events in 2013
www.payscale.com
www.payscale.com
Know how you’re doing relative to the market at all times
Knowledge is Power
Know your position relative to the market
o You may already be paying fairly
o You’ll want to know how to spend your budget, when available
o It’s about the messaging of it and the sense of “fairness”
o Any ability to use non-monetary rewards in lieu of monetary rewards?
Be creative with how you slice your comp cake.
The Compensation Mix
www.payscale.com
Get wise about pay for your hot jobs.
www.payscale.com
Compensating Hot Jobs
Flexible Options
o Move a grade
o Offer a “market premium” temporarily
o Keep on a separate (more flexible) schedule
o Consider alternate flexibilities (ability to earn extra PTO, etc)
Train for Success
www.payscale.com
Manager Training
Your managers have the best knowledge of: o What motivates their employees o How their employees are performing in their roles o Any dissatisfaction around compensation that will ripple into larger issues
Train your managers: o To communicate well and often o About performance management, including tools and training o How to listen to their employees
Have multiple strategies for reacting to market changes
Identify Multiple Strategies
Have multiple roll-out plans at your disposal to answer: o How will we be reactive to healthcare reform? o How will we be responsive to hot jobs? o How will we handle salary increases? o When will we decide which strategies to pursue? o Do we have room to accommodate variable pay? What, how,
who is eligible? o What kinds of non-monetary rewards should we explore?
www.payscale.com
Immediate Action(s) 1. Review your comp plan and policies to
see how you’re compensating people now – know what’s in the mix
2. Talk with your executives about the importance of flexibility
3. Determine thresholds for flexible options for
your budget
4. Explore options around what will motivate your staff
PayScale Delivers Where Other Compensation Providers Fall Short PayScale leads the world in compensation knowledge with the freshest and most detailed data from over 40 million salary profiles. More than 3000 organizations use PayScale’s software and intelligence to get the greatest return on their talent. Smart businesses use PayScale Insight to recruit, retain and motivate their people.
Visit our blog: www.payscale.com/compensation-today
Join our Group on LinkedIn: Compensation Today: HR Best Practices
Mykkah Herner, MA, CCP Manager of Professional Services, PayScale, Inc.
www.payscale.com