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& maximum levels of pay Factors: Ability to pay Profitability Government regulations Union influences Market pressures
General
levels Non-exempt vs. exempt Senior management & operating mgmt. Operatives & supervisors
Lead,
lag, or at-market
Total
compensation dollar
5. Differences in pay rates among jobs requiring varying levels of KSAs? 6. Recognition of dangerous or distressing working conditions? 7. Different job progression in jobs of varying worth? 8. Opportunity for advancement? If so, differences in pay related to promotion?
9. Can job holders go higher than max. or lower than min. for jobs? 10.How will we handle across the board cost-of-living adjustments?
Scatter Plots
Plotted job data provide a convenient way to see array of relationships and identify natural groupings of jobs X Axis job points, assigned pay grades, or job-worth identification Y Axis dollar value for the job
Greater differences in pay rates, the easier for job holders to perceive differences in job worth Smaller differences may force companies to adopt more than one pay structure
The relationship between rate of $$ increase per step and number of steps in grade is usually equally distributed Midpoint of pay grades normally overlap