The importance of compensation varies
Overview: The importance of compensation varies depending on the viewpoint, as stated by Barry Gerhart and Jerry Newman in Compensation. Society views compensation as a measure of justice; managers may view compensation as a major expense or a motivator; employees view compensation as an entitlement or as an incentive. Regardless of the viewpoint, fairness and equity are essential. Compensation must also be up-to-date, competitive in the market, and easy to understand.
Aligned pay structures support the way the work gets done, fit the organization’s business strategy, and are fair to employees. Organizations typically task an in- house human resource (HR) professional or hire an HR consultant to create and maintain the company’s pay structure.
Prompt: In Milestone One, you will address the internal consistency component of a pay structure using the specially designed case scenario. Read the Final Project Case Study (linked to in your course) for detailed information on the requirements for this project.
Specifically, you must address the critical elements listed below. Internal Consistency:
Create complete job descriptions for the benefits manager and production worker position using ONET. Note: There may be several versions of these positions on ONET. You should create personalized job descriptions that are tailored to the company.
Calculate the job evaluation points for the administrative assistant, operations analyst, production worker, and benefits manager jobs. Provide a rationale for assigning specific weights and degrees to the various jobs. Use the job descriptions you created in section one, as well as the job descriptions in Appendix A of the final project case study, as a reference. Note: The weights, broken down by the compensable factors, must total 100%.
Create job families for all the roles at the Rockville location. The families may be illustrated in a table or bullet format. List positions within each family based on the difficulty level. Provide a rationale for why jobs were assigned to the various families.