Description:
Develop a structured salary and grading system to ensure fair and competitive compensation.

Duration: 8-12 weeks

Major Activities:

  • Conduct job evaluation and benchmark salary data
  • Define pay grades and salary bands
  • Align compensation strategy with business goals
  • Develop a performance-based pay structure
  • Communicate the grading system to employees
  • Establish review and adjustment mechanisms

Deliverables:

  • Salary grading framework and pay structure
  • Job evaluation methodology and benchmarking report
  • Compensation policy and guidelines
  • Salary review and adjustment procedures
  • Employee communication and training materials

Project Tips:
DO:

  • Use industry benchmarks to set fair and competitive salaries.
  • Align pay grades with career progression opportunities.
  • Clearly communicate the structure to employees.

DON’T:

  • Create too many salary bands, leading to complexity.
  • Ignore external market competitiveness.
  • Implement changes without leadership approval.