PayScale: The Pay Transparency Challenge webinar
Post on 30-Jul-2015
399 Views
Preview:
Transcript
The Pay Transparency ChallengeDeciding Where to Fall on the Salary Transparency Spectrum
Mykkah Herner, MA, CCPDirector of Professional Services
Paige Hanley, CCPSr. Compensation Professional
www.payscale.com
14,000 Positions 3000 Customers 11 Countries
250 Compensable Factors41 Million Salary Profiles
www.payscale.com
Agenda• Pay Transparency Matters
• Defining Transparency
• The Transparency Spectrum
• Moving to Greater Transparency
• Immediate Actions
www.payscale.com
Pay Transparency
Trust
Better Business Outcomes!
Engagement
Why Would Anybody be More Transparent about Pay?
www.payscale.com
Employees who perceive a ‘fair and transparent pay practice’ have lower intent to leave and higher satisfaction
PERCENT OF RESPONSES
LOW AVERAGE HIGH
50% 31% 19%
0.00%
10.00%
20.00%
30.00%
40.00%
50.00%
60.00%
70.00%
80.00%
90.00%
1 2 3 4&5
% Responses with Intent to Leave % Responses with High Satsifaction
Intent to leave
Satisfaction
www.payscale.com
What are we being transparent about?
• Pay Philosophy
• Pay Strategy
• Pay Practices
• Market Studies
• Pay Rateswww.payscale.com
• Defining the competition
• Aiming to meet or exceed the competitions
• Deciding what matters
• Acknowledging various segments
Pay Strategy
www.payscale.com
• We have a plan
• Jobs have grade assignments
• Range minimums / Range maximums
• Increase process / cycle
• Budget process / cycle
Pay Practices
www.payscale.com
2. Manager & Employee Talk About Pay
• Philosophy shared with managers
• High level strategy shared with managers
• “We have a plan” shared with managers
• Manager & Employee discuss EE pay
3. Company Pay Philosophy• Philosophy shared with employees
• Strategy shared with managers
• “We have a plan” shared with Ees; ranges shared with Ees & Mgrs
• We do a market study
• Manager & Employee discuss EE pay
4. Market Study and Comp Processes known
• Philosophy explained to employees
• High level strategy shared with Ees; full strategy shared with mgrs
• Mgrs know all ranges to their level; EEs know ranges in their path and how to advance
• Market study provider known; EE to mkt results known by EE
• Manager & Employee discuss EE pay
5. Managers Trained to Talk Pay• Philosophy explained to employees
• High level strategy shared with Ees; full strategy shared with mgrs
• Mgrs know all ranges to their level; EEs know ranges in their path and how to advance
• Co-wide results known; EE to mkt results known by EE
• Manager & Employee discuss EE pay well
6. Published Ranges & Grades• Philosophy explained to employees
• Full strategy shared with EEs
• All ranges shared with Ees; budget & increase process / cycle known
• Dept-wide results known
• Manager & Employee discuss EE pay well
7. Everybody Knows Your Salary• Philosophy explained to employees
• Full strategy shared with EEs
• All ranges shared with Ees; budget & increase process / cycle known
• EE to market results shared
• EVERYBODY KNOWS EVERYBODY’S PAY
• Explain what transparency is (and isn’t)
• Link transparency with results that matter
Gain executive support
www.payscale.com
• Provide information about the business, rationale for increasing communication, and tools for success
• Expect more to get more
• No really, train them on communication
Train managers
www.payscale.com
• What’s the make-up of your workforce?
• Are they ready for more transparency?
• Do they want it?
Assess Workforce
www.payscale.com
Develop a plan
www.payscale.com
Employees know
× Their pay
× The starting rate for their job
× Their range cap
Employees know
Their pay
Grade & range
Comp Philosophy & basis for increases
Average increase across the org / dept / level
Third Party Study
Requires:• Executive support and buy-in for comp plan• Increased manager savvy
Immediate ActionsAssess your workforce
Educate yourself further about transparency
Notice what you already do in your org
Think about what “pushing the envelope” means to you
Begin talking with your executives
www.payscale.com
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-todayJoin our Group on LinkedIn: Compensation Today: HR Best Practices
Mykkah Herner, MA, CCPDirector of Professional Services
Paige Hanley, CCPSr. Compensation Professional
www.payscale.com
top related