Analyzing the results of the salary review

When the managers are ready with their proposals for salary increases for their employees, it is HR’s job to analyze the results. It is important to ensure that the company complies with policies and guidelines and that the results are in line with the compensation strategy of the organization.

Here are some suggestions to help with analyses. Do the analyses before the salary review is decided so that any misalignments can be corrected.

  • Are we keeping within the budget?
  • Have union members received what they have been promised?
  • What does the balance between women and men look like?
  • What does the balance between different departments/business areas look like?
  • Have the company’s key employees and those with key skills received pay increases in line with the salary strategy?
  • Have groups or individuals that have been identified as prioritized, e.g. in a pay survey, received pay increases as recommended?
  • How do the pay increases compare to relative pay levels and performance? Have the managers applied the recommendations in the salary review matrix?

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