Deciding how to compensate employees equitably is an ongoing challenge for most small business owners. They understand the need for creating a successful system, but also know that compensation has a lot of moving parts.
So what’s the best way to create an equitable salary structure? How do you establish a formal pay system that provides a means of rewarding individuals for their contributions to the success of your organization, while making sure your organization receives a fair return on its investment in employee pay?
Recently I was asked by Teri Saylor, an N&O ShopTalk contributor, to offer suggestions for small business owners on how to navigate the sometimes tricky minefield of salary administration. I offered four criteria, with extra insight on how and when to cut pay should that ever become necessary.
For more tips or assistance with employee relations, compliance issues, etc., contact me. I offer an initial complimentary one-hour consultation for businesses desiring HR consulting.