Consider the Industry Segment When Determining Salary Compensation

by on June 18, 2009 · 0 Comment POSTED IN: HR Info Center

Use the right survey to figure out salary compensation

The industry segment is another factor to consider in matching the market place and determining what the competitive salary compensation is for your jobs. And some industry segments actually vary considerably from each other when it comes to salary compensation. Three examples of industry segments that vary are CEO, top HR, and Executive. You can see the consulting area pays higher for both those kinds of jobs given to same size, controlling for size and matching the jobs correctly on education and experience and that sort of things. There is a big difference in pay levels among certain industry segments.

One of the things you’re going to be faced with and perhaps you already have been making decisions on the right survey to use to determine salary compensation. And every survey has weaknesses. Even some of the very best and biggest surveys out there have weaknesses. They may not have the right type of jobs that you have. They may not have the right geographical area surveyed. Or, they may not have cut the data in the way that you think is the way you’d like to see it. So, every survey has weaknesses. It doesn’t mean you shouldn’t be using them. It only means that you should understand what the differences are between the surveys and what the data really means when you put it down.

A lot of you have probably been approached by employees or even managers about And there’s a reason why for example is free. One of the reasons is that you really can’t cut the data in the ways that most companies would probably want to cut the data. They don’t give you that choice. If you pay, if you do, if you sign up for the pay version and you do have that ability to cut data.

It used to be about 10 years ago that however was significantly different than what you might find in special surveys or better run surveys about salary compensation. You will find that those numbers actually are getting closer and closer or are probably more accurate than they used to be.

Edited Remarks from “The Seven Deadly Sins of Employee Compensation Plans (and How to Fix Them)” by Rick Olivieri

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