Establishing an effective compensation administration program requires job analysis, job evaluation, and job pricing. A successful program will help attract top talent, retain core employees, and encourage longevity while efficiently using financial resources. Our articles and tips on Compensation Administration will provide you with How to information on compensation challenges including software, payroll, tax, and communication.
| Thursday, March 6th, 2014
"In yesterday’s Advisor, consultant Mollie Lombardi and Product Manager Jim Mansfield offered tips for automating time and attendance. Today, more of their practical advice, plus an introduction to a DIY Compensation Makeover."
What can be gained with technology and integration?
In a word, efficiency and productivity, says Mansfield. An employee asks for a day off. The request is logged, and the manager is alerted and reviews the request. If approved, the information gets onto the schedule and to payroll. If necessary, qualified substitutes are found.
| Wednesday, March 5th, 2014
"The “best in breed” approach is out, and integration is in, says Consultant Mollie Lombardi. Companies look for best practices, but take that with a grain of salt, she warns. Best practice for another company may not be best practice for your company. You have to find the right processes for your organization."
Best of Breed Out
Most companies started out their transition to HR automation by going “best of breed”; that is, finding the best time tracking system, the best payroll system, and so on, but now that’s not the way to go, says Lombardi. Now employers want integration of all these processes plus integration with business and financial data for forecasting.
| Tuesday, March 4th, 2014
"In yesterday’s Advisor, Attorney Joan Farrell clarified some of the subtleties of age discrimination, retirement, and workforce planning. Today, the delicate issue of asking directly about retirement plans, plus an introduction to the practical guide to solving wage and hour problems."
Can You Ask About Retirement Plans?
Can you ask older employees about their retirement plans? Yes, if you are careful, says BLR® Senior Legal Editor Joan Farrell. But push too hard and it starts to look like age discrimination.
If an employer has a legitimate reason, like workforce planning or succession planning, it’s not a violation of the Age Discrimination in Employment Act (ADEA) to ask an employee about his or her retirement plans. However, if the person asking the question does not tread carefully, there can be legal quicksand, Farrell says.
"If a company is trying to cut costs by cutting people, it may seem attractive to terminate those with the highest salaries. More likely than not, says Attorney Robert Tinnin Jr., if you use salary level as the only criterion for selecting workers for the reduction in force (RIF), you will run into problems."
While salary level may be a legitimate factor in determining which employees to lay off, it cannot be the determining factor if it adversely affects older workers, says Tinnin, who is a partner with Tinnin Law Firm in Albuquerque, New Mexico, and editor of New Mexico Employment Law Letter.
| Friday, February 28th, 2014
"If you, like me, were one of the tens of millions of people who watched the Academy Awards Sunday night, you saw a celebration of excellence in a profession. The Academy of Motion Picture Arts and Sciences was founded in 1927. And, according to its website, “one of the first Academy committees was Awards of Merit. The first Academy Awards were officially presented at a black-tie dinner at the Roosevelt on May 16, 1929, honoring achievements between August 1, 1927 and July 31, 1928.”"
Oswald, CEO of BLR®, offered his thoughts on recognizing excellence in a recent edition of The Oswald Letter.
| Thursday, February 27th, 2014
"In yesterday’s Advisor, consultant Dan Kleinman explained why we need to conduct compensation audits; today, key items to include in your audit, plus we introduce a timely webinar on incentive pay plans that work."
What Is Written?
Start with the written documents, says Kleinman. What written documents relate to compensation? Who has them? Who wrote what and when? What do they say? For example:
- Plan documents
- Pay parameters
- Hiring/Bonus boundaries (approval levels, etc.)
| Wednesday, February 26th, 2014
"Your compensation audit assesses whether the organization’s compensation programs and practices are doing what management wants them to do, says Dan Kleinman. It’s “knowing how reality superimposes itself on expectations,” Kleinman says."
Why Do an Audit?
For the same reason we do financial audits—to fulfill a fundamental obligation, that is, to discover vulnerability. Remember, says Kleinman, who is principal of California-based Dan Kleinman Consulting, someone is always watching, internal and external, and they are evaluating what is going on.
| Friday, February 21st, 2014
"When I flipped on the television last week to check out the Olympics, I found myself watching the men’s Super-G Alpine skiing. By the time I had tuned in, the celebrated American skier Bode Miller was safely at the bottom of the slope and sitting in first place. This is believed to be the final Olympics for Miller, who has won six medals in this and previous Olympic competitions."
Oswald, CEO of BLR, offered his thoughts on mental toughness in a recent edition of The Oswald Letter.