HRM590: Compensation Decisions
Your job now is to pull together all the information you’ve completed so far in class and make salary decisions for your team. You have completed Cathy’s evaluation and received assignment feedback. This is the first year that you’ve made salary decisions for this team. Be sure to carefully review the information provided. You may simply type in the cells as the text will automatically wrap. You are required to: 1. Enter Cathy’s appraisal rating (she is last on the list); 2. Within your budget dollars, make your salary decisions based on performance for your team taking into consideration their Salary Grade and the Pay Ranges identified for the Salary Grades (fill in the Salary Decision Column); 3. Within your budget dollars award bonus money (fill in the Bonus Dollars Column); 4. In the green line areas, provide your substantiation and risk analysis for the salary decisions made; and 5. Identify any items from this scenario in whole you may want to address.
Evaluation ratings are 1 = Needs Improvement to 5 = Exceeds Expectations Salary Budget: $9,000
Bonus Budget: $5,000
Company Designated Salary Pay Ranges
A2 = $12,750 – 17,000
A3 = 16,500 – 22,000
A4 = 21,000 – 28,000
|Employee Information |Salary |Current Salary |% at Pay Scale* |Appraisal Rating |Salary Decision |Bonus Dollars | | |Grade | | | | | | |Substantiation and Risk Analysis: John is a major asset to the company and the appraisal rating justifies that. His skills and experience may be hard to replace if he decides to retire early. He was given the | |highest salary decision of 8% which exceeds the company designed salary pay range. It would be a loss to the company to lose such a valuable employee. His bonus was also outstanding based on his appraisal rating | |given. | |Alice is a Hispanic female, 42YO with 17 years’ service. Alice is a good worker. She has a lot of |A4 |$22,500 |80.4% |3 |3% |600 | |potential, which netted her the higher rating. She needs some more skills and experience at this level| | | | |$675 | | |though. | | | | | | | |Substantiation and Risk Analysis: Alice has been with the company for 17 years and does a good job, however, she has much to learn at this level and still may need more training to improve in her skills and | |experience. Her appraisal rating was average but still enough to earn the lowest salary increase of 3% and a bonus. | |Calvin, 28YO black male with 9 months service. Calvin is a real go getter. He hasn’t been with the |A4 |$26,500 |94.6% |4 |3.75% |600 | |company long enough to earn a higher rating, but his work is outstanding, high skill set and is looking| | | | |$994 | | |to stay with our company for a career. |...
Please join StudyMode to read the full document