文档介绍：Job Grades & Salary Ranges
Compa-ratios (CR)
pa-ratio (comparative ratio) is a measure of the extent which the average salaries in a grade deviate from the target salary.
it is used pare actual averages with the target salary to indicate the extent which salary levels are high or low.
the formula for calculating pa-ratio is:
Average of all salaries in the grade
--------------------------------------------------------------------------------------------------------------------------------------------------------------- x 100
Midpoint of the salary range
pa-ratio of 100 indicates that the average salary is aligned to the midpoint of the salary grade and no corrective steps need to be taken.
Compa-ratios (CR)
pa-ratio of 80 would indicate a need to investigate why average salaries were low and possibly no petitive.
pa-ratio of 120 would suggest either there were a lot of long-service staff or that staff were being overpaid, and that increases needed to be modified.
compa-ratio analysis can reveal a situation where earnings drift has taken place.
Competitive Posture (CP)
Competitive Posture is a measure of petitive the salary is with respect to a given market benchmark.
Competitive Posture can be used to measure petitiveness of pany’s or individual’s petitiveness in the petitive Posture for pany puted as:
CR = Average of all Salaries in a given Job Grade
Market Benchmark Salary
Competitive Posture for an individual puted by:
CR = Salary of the individual Employee
Market Benchmark Salary
Salary Administration
Minimum Salary Points
1. Minimum salary for the grade
2. Minimum for Job In the market
3. pa-ratio at 1 .00
4. Overlap between 60% to 80%
5. Avoid leapfrogging tendencies
6. Allow for realistic minimum
Salary Administration
Maximum Salary Points
1. Maximum salary for the grade
2. Maximum for job in the market
3. Keep salary range short (8 - 12 years)
4. Maxmin ratio between to
5. pa-ratio at
6. Allow for realistic maximum
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