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:thegeographicareaofthelabormarket,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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