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Salary level



Hierarchy

Salarylevelsaredividedintodifferentlevels.Itcanrefertotheaveragesalarylevelofemployeesinacountry,region,departmentorcompanyduringacertainperiodoftime,oritcanrefertoaspecificThesalarylevelofprofessionalgroups,amongwhichthesalarylevelofenterpriseemployeesmainlyreferstotheaverageleveloftheoverallsalaryofemployeescalculatedbytheenterprise,includingtheaveragelevelofthetimepointortheaverageleveloftheperiod.Therearetwomainmethodstodeterminethesalarylevelofacompany:oneistheaveragesalarypaidbythecompanytodifferentpositions,whichisanabsolutequantityindex;theotheristhepositionofthecompany'ssalarylevelintherelevantlabormarket,whichisarelativequantityindex.

Salarystrategy

Generallyspeaking,undertheguidanceofstrategicgoals,companiesoftenformulatesalarylevelstrategiesbasedoncorporatestrategyandlabormarketconditions.Thesalarylevelcanbedeterminedbyreferringtothesalarylevelofthelocalindustryinthepreviousyear,combinedwithpricefactors.Therearefourmaintypesofsalarylevelstrategies,namely:leadingstrategy,followingstrategy,laggingstrategy,andmixedstrategy.

Influencingfactors

Labormarket

Enterprisesmustpaycompensationbasedonchangesinlabormarketsupplyanddemand,andlabormarketchangesanddifferencesformrestrictionsoncompensationpayments.Thelabormarket,inasense,referstoaplacewhereemployersandjobseekersexchangesalariesandotherjobrewardsfortheskillsandbehaviorsrequiredbytheorganization.Theseinclude:thegeographicareaof​​thelabormarket,theinfluenceoflaborsupplyanddemand,theinternallabormarket,theunemploymentrateandtheturnoverrate,aswellasfactorssuchasgovernmentandlaborunions.Thestateofthelabormarketdirectlyaffectsthesupplyoflaborforenterprises,mainlymanifested.Intwoaspects:thefirstisthenumberofhires;thesecondisthehireprice,thatis,thelevelofsalary.

Productmarket

Theproductmarketandthefactormarketlargelydeterminethecompany'sabilitytopay.Therearemanyfactorsthataffectthecompany'sabilitytopayandthusaffectthesalarylevelstrategyinthesameindustryorbetweenindustries,includingthedemandelasticityofproducts,thedemandelasticityofbrands,theratiooflaborcoststototalcosts,andthesubstitutabilityofotherproductionfactors.

Characteristicfactors

Enterprisecharacteristicsessentiallydeterminethecompany’sabilitytopay.Theenterprisecharacteristicfactorsthataffectthesalarylevelgenerallyincludetheenterprise'seconomicbenefits,managementorientation,staffsizeandconfigurationefficiency.

Operatingstatus

Thestrategicintentionofthecompanydeterminesthecompany’swillingnesstopayfordifferentpositions.Inparticular,thecompetitivestrategyhasthemostdirecteffectonthecompany’ssalarylevel.Itreflectstheenvironmentalimpactofthecompany’sbusinessoperations.reaction.Generally,low-coststrategieswillconsiderthecontrolofsalarylevels;anddifferentiationandinnovationstrategieswillbemorerelaxedinthechoiceofsalarylevelstrategies.

Adjustmentfactors

Theadjustmentofsalarylevelmeansthatthesalarystructure,gradeelements,andconstituentelementsremainunchanged,andtheamountofeachgradeorelementinthesalarystructureisadjusted.Thebasisforadjustmentofsalarylevelincludesfactorssuchasmarket,performance,positionandability.Onebasiscanbeusedoronebasiscanbeusedasthemainbasis,andtheothercanbesupplemented.

Market

Throughmarketsalarysurveys,understandthesalarylevelsofkeypositionsinthecompany,andmaketimelyadjustmentswhendeviationsoccurtomaintainthecompetitivenessofsuchpositionsinthelabormarket.SuchkeypositionsgenerallyincludeR&Dtechnicaltalents,seniormanagementtalents,andscarcetalentsatspecificstagesofenterprisedevelopment.

Performance

Forthoseemployeeswhosesalarypaymentisperformance-oriented,suchassalespersonnelandproductionpersonnel,throughperformancesalaryadjustments,performanceisdirectlylinkedtoemployeecompensation.Themainpurposeistorewardtheadvancedandspurthebackward.

Position

Thepositionwhosevaluehaschangedshouldbere-evaluatedandreclassifiedtothecorrespondingsalarylevel.Inaddition,foremployeeswhosepositionshavechanged,theirsalariesshouldalsobelinkedtotheirpositionsandmanagementresponsibilities.

Competence

Forthecompany-recognizedskillimprovement,suchasthelatestskillsthathavebeenupgradedthroughtraining,salaryadjustmentsshouldbegiventoemployees,thepurposeofwhichistobettermotivateemployeestobeataprofessionallevelAndtheimprovementofskills.

Seniority

Forcompaniesthatencourageemployeestoserveforalongtime,salaryadjustmentscanbemadebasedonseniority,whichisgenerallynotlarge.

Strategyform

Strategytoimprovetheexternalcompetitivenessofsalarylevel:

Leadingtype

Leadingsalarystrategy,alsoknownassalaryleaderpolicy.Itisastrategythatthesalaryleveloftheorganizationishigherthanthatofcompetitorsorthemarket.Thisremunerationstrategycomesatthecostofhighsalaries,hasobviousadvantagesinattractingandretainingemployees,andreducesthedissatisfactionofemployeeswithremunerationtoafairlylowlevel.

Following

Followingcompensationstrategyistotrytomakethesalarycostoftheorganizationclosetothesalarycostofcompetitors,andmaketheorganization'sabilitytoabsorbemployeesclosetotheabilityofcompetitorstoabsorbemployees.

Lagging

Laggingcompensationstrategyisastrategythatadoptstheorganization'ssalarylevellowerthanthatofcompetitorsorthemarket.

Companiesthatadoptlaggingcompensationstrategiesaremostlyinthecompetitiveproductmarket,withrelativelylowmarginalprofitratesandweakcosttolerance.Limitedbythelowerprofitmarginsintheproductmarket,theinabilitytoprovideemployeeswithahighlevelofcompensationisoneofthemainreasonswhycompaniesimplementlaggingcompensationstrategies.Ofcourse,sometimes,theimplementeroflaggingremunerationstrategyisnotreallyincapableofpaying,buttheissueoflackofwillingnesstopay.

Hybrid

Theso-calledhybridcompensationstrategymeansthatcompaniesmakedifferentcompensationleveldecisionsbasedonthetypesofpositionsoremployeesordifferentcomponentsoftotalcompensation,ratherthanThesamesalarylevelpositioningisadoptedforallpositionsandemployees.Forexample,somecompaniesusedifferentsalarydecisionsfordifferentjobfamilies,adoptingmarket-leadingsalarystrategiesforcorejobfamilies,andimplementmarket-followingorrelativelylaggingbasicsalarystrategiesinotherjobfamilies.

Furthermore,forkeypersonnelinthecompany,suchasseniormanagementandtechnicalpersonnel,providesalarieshigherthanthemarketlevel,andimplementmatchingsalarypoliciesforordinaryemployees,andforthosewhoareinthelabormarketatanytimeEmployeeswhocanfindreplacementsoffersalariesbelowmarketprices.also.Somecompaniesalsoimplementdifferentcompensationpoliciesbetweendifferentcompensationcomponents.Forexample,intermsofthemarketvalueoftotalcompensation,itisinacompetitivepositionhigherthanthatofthemarket,inaslightlylowerandbackwardpositionintermsofbasiccompensation,andatthesametimeinaleadingpositionthatismuchhigherthanaverageintermsofincentivecompensation.

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