“I’m the HR Executive to a small to mid-sized firm. I get asked a lot of odd tasks. Today topped the cake.
Management decided full time employees are taking way too many of their paid sick days. They also wanted to know the pay, benefits, down to every incentives offered to such talent bands. I suppose they want to be armed with some information regarding what other employers in the area offer. So they have me cold-calling Companies, consultancies and other employers with similar talent pool to get a consensus.
It’s been pretty difficult getting this information, which is pretty much confidential. I was wondering what your opinions were on this task in general, is it really useful to them to know what other employers are offering? Is there another way I could go about getting this type of information?”
Congratulations on this initiative. No matter how odd this task may sound, it will empower you with valuable information with regards to compensation and benefits. Let this be your very first Compensation Benchmark activity at a small and a manageable scale!
To begin with there are reports on Compensation with bands and designation for every sector published by Aon Hewitt, Mercer to name a few. Top firms such as Willis Towers Watson and Michael Page can offer insights on the design. But then, these reports are costly. A salary survey would offer a comparative data on where the pay structure within your firm lies. Glass door and Payscale would offer you a broad over view to the pay range . If you research enough in the comment section for each firm you might be able to even gauge how far the benefits implemented. Job advertised on LinkedIn Monster , Naukri and IIM Jobs can share more data on the existing opening.
Segregate the data for every band, level, and designation in your firm and compare it to what your competitors are paying. Stay focussed on your region unless you have a Pan-Indian presence or hire out-station candidates. Factor in the education level and experience in years required to deliver the job. The standard of living for the cities where your firm have a presence needs to be considered.
Once you have your report ready, validate it within your HR network. Confidentiality is important, hence respect someone’s choice of not responding to you. You may try and validate the data through the employees to the firms in your sector.
Once you have every single data validated by at least 3-5 individuals from each firms, you should be good to present the report to the Management Team at your firm.
Be prepare with questions on valid the data is and how do you make it relevant within your firm. Prepare a plan to suggest the changes that needs to be made to optimise your current pay structure and benefits. Suggest a few measures to be taken during implementing the new plan. In case you are not completely aware of the Minimax calculation , consider involving an external consultant or an expert. Wish you all the best !
If you have any HR Query or any query on Future of Work, please write to me in here. Looking forward to learn more while finding solutions for you.
Nabomita is the Founder to Nabomita.com. She is the Top 100 Women Achiever Awardee, awarded by Government of India , TEDx Speaker, Quoted on ForbesUS, one of the Top 20 HR Influencer in Social Media as declared by SHRM India and one among the Top 100 Technology Influencer in India. Connect with her on @nabomita_smiles , Facebook Page and Google+