Paying employees adequately is not enough. Employees need
to know your compensation philosophy.
Many executives say to employees, “We pay competitive
wages.” These business leaders then assume that employees
will accept this statement on face value.
In today’s “information at a click” world, you are
dreaming if you think employees will accept anything on
face value. Employees need more proof than your words.
HR CONTRARIAN POINTER: Companies need to offer objective
evidence to employees to support their compensation
program – something more than, “Because I said so.”
This is particularly important for smaller businesses
because their employees are often bombarded with Internet
information about jobs and salaries that often distorts
the reality of compensation.
You can create an objective and easily explainable Wage &
Salary Program that satisfies your employees’ need-to-know
without bankrupting the business or committing the company
to any long-term payroll expenses.
To view our approach to setting and communicating a
compensation strategy, click on the link below to our
Street-Smart Wage & Salary Program.