Compensation HR Essay Example | Topics and Well Written Essays - 750 words

Compensation HR - Essay ExampleThis is mainly used to determine which business organisation should get a higher pay than the other. There are methods used in job evaluation such as job grading, job rank and factor comparison. Job evaluation is advantageous as it helps to define a job according to an individual specialization so as to fix the fairest wage on it. Job evaluation analysis also helps when selecting a job that relates to the qualifications of an employee. Jobs are evaluated by ranking jobs. This is by evaluating a job using a single factor such as how skilful a job is, or the educational level requires needed to perform the job effectively. The more technical a job and the higher the educational level required, the higher the job is ranked. Compensation is then based on the ranking where the highest in the rank is nonrecreational more (Poels and Frans 22).Salary surveys are normally used in job evaluation. This is by comparing a job with the same kind of job, with the same definition and the same expectations in another organization in the job market. This helps in knowing how competitive the organization is as compared to other organizations. As a outcome of this survey, the ranges of salaries are normally revised as soon as the survey shows the need of a revision. This helps the organization stay competitive in the market.Compensation schedule is important in attracting and retaining talented employees. The program is normally done by the human resource manager. This is normally done together with the training and development officer. The stimulate of a training and development officer is to ascertain the performance of employees. This is so as to see if they have reached the set target of if they have improved in their performance. This helps the human resource manager department in efficiently administering the compensation program. Merit increase is given based on the performance of an employee where, if an employee performs better, they get a better compensation.There is