Fundamentals of Compensation

This webinar will provide participants with a fundamental understanding of how to create a market-based compensation system. Competitive compensation practices are essential to employee recruitment and retention efforts. The thought of creating a competitive compensation system may seem daunting, but it does not have to be an overwhelming project!

We will break down the process into 5 basic steps to create a market-based pay structure. Your compensation philosophy may be to match the market, lead the market, lag the market, or “lead/lag”. We will discuss when to select each philosophy and what this means for benchmarking.

The webinar will cover the process of benchmark analysis and how to apply that to your organization. We will discuss internal equity, and we will cover compensation terminology such as midpoint and compa-ratio.

You will leave the webinar with an understanding of how to guide your company through writing or revising your compensation philosophy and be capable of leading the compensation analysis.

• How to define your company’s compensation philosophy.
• How to put together a well-designed market-based pay structure.
• The definitions and usage of common compensation terms.
• How to decide whether to lead, lag, or match the market.
• The basics of job analysis and salary grade placement.
• Obtaining management team buy-in for a compensation philosophy.
• Different sources of pay data.
• How to implement and evaluate your pay structure.