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Discussion unit 3

Discussion Unit 3

Q HR professionals that deal with compensation issues must ensure that accurately capturing employee performance allows the organization to properly reward those who bring real value to the organization. How does your present or previous organization support the concept of internal consistency between each job as well as the need for external competitiveness of each job to create pay levels in your organization? What are they based on as it relates to internal consistency or market competitiveness?

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Though often used interchangeably, compensation and salary differs largely. Compensation is a broader concept in which the employee receives all the financial and tangible benefits he is entitled to from his employer. This includes his base salary as well. Creating a consistent and viable compensation system can aid in building competitive advantage for an organization.