In an overhaul the exempt salaried compensation program attitude surveys and exit interviews strongly indicate that two out of three voluntary resignations of exempt Gardner Minshew Shirt , salaried employees are due in large measure to feelings of dissatisfaction associated with compensation. Specifically, employees note that there has been no upgrading of the exempt salaried pay structure for the past five years; individual pay increases have failed to keep pace with increases in the cost of living; pay increases are granted every 16 months on the average A. J. Cann Jersey , and there seems to be a tendency to give uniform pay increases, thus failing to recognize superior performance while overpaying mediocre and poor performers. A significant contributing factor here is the absence of position descriptions Yannick Ngakoue Jersey , performance standards, and performance appraisals. Also contributing to the problem is an absence of control on the number of people hired by certain functions Dede Westbrook Jersey , and formal organization planning is nonexistent. Ten action steps are indicated for this:

1. Make a thorough analysis of the existing compensation system and pay practices to ascertain the magnitude of the problem.

2. Develop a position description for each position, working with the incumbent and his manager.

3. Classify and evaluate each position in relation to other positions within the same function and in relation to comparable positions inside and outside the company.

4. Establish an appropriate salary structure with rate ranges for each grade within the structure. Use comparative industry salary data so as to keep rates competitive.

5. Identify out-of-line actual pay rates-on the low side as well as the high side.

6. Establish salary administration policy and issue guidelines; maintain and update every six months.

7. Communicate before Cam Robinson Jersey , during, and after each of the foregoing steps.

8. Concurrent with the foregoing steps Logan Cooke Jersey , work with all managers to insure the establishment of performance standards and priorities for each exempt salaried position. Such standards should be set with the participation of incumbents whose performance will be evaluated on the basis of those standards.

9. Develop and implement a formal performance appraisal system; at least once a year, each person should have his performance reviewed with him by his manager.

10. Consider individual salary adjustments at least once every 12 months Ronnie Harrison Jersey , and relate such adjustments to demonstrated accomplishment and improved job performance as measured against predetermined standards.

Implementation of this approach should result in reduced salary costs and improved productivity. It will make the exempt recruitment job easier because there will be fewer candidates to hire, given reduced turnover. Spelling out the requirements for each job means that more well-qualified people will be hired because of a better fit. Over a period of time Telvin Smith Jersey , fewer people will be needed because clearly defined position responsibilities coupled with effective organization and manpower planning will help to eliminate duplication of effort, defensive maneuvering Blake Bortles Jersey , and empire building.

Each position will have to justify its existence by showing a direct contribution to the achievement of organizational objectives-otherwise, it should be eliminated. If a position cannot be described in these terms A.J. Bouye Jersey , in all likelihood it is a luxury the organization can afford.nina jomes
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