Compensation Structure

Core compensation programs – job evaluation, base pay, and variable pay – require an objective and valid approach to their development in order to be understood and accepted by managers and employees alike. However, the development of these programs is no small feat. It takes considerable time and effort to design compensation programs that are both internally equitable and market competitive, and that align with the organization’s strategy and compensation philosophy. Taking a thoughtful and methodological approach to developing these programs is critical to ensure that there is a sound rationale underpinning the decisions made (e.g. how does the organization balance internal equity and market competitiveness when they’re at odds with one another) and how the programs work in practice (e.g. how starting salaries are determined). The rigor that is applied in determining the structure of compensation programs will promote pay transparency, as organizations can share not only the compensation programs but the process that was used to develop them. McLean & Company offers our members practical, step-by-step project blueprints, training, tools, and templates to accelerate compensation structure development. In addition, expert guidance and interactive workshops are also available across a range of topics to enhance and accelerate project completion.