Today, we’re continuing our coverage of highlights from the results of the BLR® 2015–2016 Pay Budget Survey. Full survey results are available to our Compensation.BLR.com® subscribers on the website.
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[for yesterday’s installment, click here.]
HR Wears Many Hats When It Comes to Raises
Though 18.2% of survey participants play no role in setting raises at their organization, HR wears many hats when it comes to setting raises.
For example, 44.2% of survey participants who answered this question help supervisors with tough pay decisions, and 48.2% play a major role in deciding the companywide level for raises. Each department’s raises are reviewed by 35.6%, and 24.2% approve each employee’s salary increase.
Are you considering creating a salary survey? Start on Tuesday, September 29, 2015, with a new interactive webinar, Salary Surveys: Strategies for Gathering and Analyzing Pay Information. Learn More
Each employee’s raise is determined by 13.1% of participants, and 19.5% review individual raises but have no veto power. For 16.7%, a pool amount is given to managers to use at their discretion.
How Are Participants Using Compensation to Boost Retention
To address employee retention problems, 60% evaluate their pay scale/rate range levels to ensure market competitiveness and 24.5% evaluate employees for flight risk, addressing pay issues at the individual employee level. No compensation-related problems are the norm for 17.8% of survey participants.
2016 Challenges on the Horizon
Many wage-related issues are on the horizon for survey participants by the end of 2015. For example, trying to keep up with competitors’ wage rates will be a concern for 26.8%, and dealing with budget constraints will be an issue for 20.8%, while rising benefits costs will be a problem for 4%. The economy continues to be a hurdle for 3%, and a potential funding shortfall may cause difficulty for 2.2%.
Addressing employee expectations may be difficult for 3%; achieving internal equity could be a concern for 2.7%; a shrinking labor pool may create problems for 2.7%; and recruiting and/or retention will be a struggle for 8.4%. Managing pay for performance plans will be an issue for 2.5%, and getting management approval for pay increases and/or bonuses looks to be a challenge for 2.2%, while no raises are on deck for 1.5%.
A higher minimum wage is expected to be an issue for 4.7%, pay compression is a potential problem for 4.4%, and the recently proposed overtime rules may become a concern for 1.9%.
If you want to update and refresh your salary structure, you’ll have to get a feeling for your own salary landscape. How to get there? Fortunately there’s timely help in the form of BLR’s new webinar—Salary Surveys: Strategies for Gathering and Analyzing Pay Information. In just 90 minutes, on Tuesday, September 29, you’ll learn everything you need to know about executing the salary survey process.
Register today for this interactive webinar.
Need to adjust your salary structure? Join us Tuesday, September 29, 2015, for a new interactive webinar, Salary Surveys: Strategies for Gathering and Analyzing Pay Information. Earn 1.5 hours in HRCI Recertification Credit and 1.5 hours in SHRM Professional Development Credit. Register Now
By participating in this interactive webinar, you’ll learn:
- Key compensation concepts like equity theory, compensation philosophy, and market strategies to get a handle on before your salary survey project gets underway
- The purpose of salary surveys and how to gather information on benchmark jobs
- Tips and tricks for gathering and analyzing pay information
- How to establish the scope of your salary survey so that it works, based on competitors, job types, and geographic regions
- The ins and outs of salary survey data: What you’re looking for, what it means, and where to find it
- How to make sense of the data you’ve got, including tips for analyzing, studying statistics, and making it all work with your internal pay structure
- How to conduct an in-house survey without running afoul of anti-trust laws
- And much more!
Register now for this event risk-free.
Tuesday, September 29, 2015
1:30 p.m. to 3:00 p.m. (Eastern)
12:30 p.m. to 2:00 p.m. (Central)
11:30 a.m. to 1:00 p.m. (Mountain)
10:30 a.m. to 12:00 p.m. (Pacific)
Approved for Recertification Credit and Professional Development Credit
This program has been approved for 1.5 credit hours toward recertification through the Human Resource Certification Institute (HRCI) and 1.5 credit hours towards SHRM-CPSM or SHRM-SCPSM.
Join us on Tuesday, September 29, 2015—you’ll get the in-depth Salary Surveys: Strategies for Gathering and Analyzing Pay Information webinar AND you’ll get all of your particular questions answered by our experts.
Train Your Entire Staff
As with all BLR®/HR Hero® webinars:
- Train all the staff you can fit around a conference phone.
- Get your (and their) specific phoned-in or e-mailed questions answered in Q&A sessions that follow the presentation.