The Military Compensation System

The military compensation system, like many others, is a multilayer package comprised of direct compensation, indirect compensation, and additional considerations not afforded to most civilian sector employees (Bricka, 2016). As the civilian sector continues to graduate its compensation system to accommodate the labor economics of today’s society, the military fails to trend in the same direction. The current military compensation system is adequate to most but is outdated and in need of reform. “It is rooted in industrial-era labor management practices, not linked to defined organizational outcomes, and rests upon an ineffectual evaluation system. It does little to incentivize performance” (Wallace, Colarusso, Hall, Lyle, & Walker, 2015).
The foundation of the DoD compensation system and individual salary is basic pay. Basic pay is a taxable income based on rank, whether or not an Officer was enlisted prior to transitioning to the Officer Corps, and Time In Service (TIS), or how long an individual has served on active duty. As an example, a Captain (Officer) with prior service (enlisted) and has over 16 years TIS receives $6,827.10 per month before taxes (Military Pay Chart, 2017). That pay will increase to $7,026.00 upon eligibility date for 18 years TIS. As an individual is promoted and TIS progresses, their basic pay increases, yearly until they reach four years and then every two years after. It is a salary wage meaning Soldiers earn their basic pay regardless of how many hours they work. This is one point of common debate among military and civilian personnel. The derogatory view of the military pay is often calculated based on the basic pay divided by 24 hours since a Soldier is a Soldier 24 hours a day, 365 days per year. This misconception leads many to believe that the military pay scale is below poverty wages and forcing many enlisted Soldiers to rely on government assistance. This altered reality is not a fair assessment and should include additional components of the compensation
Currently, the military health system is comprised of health care, education, public health, civilian medical partnerships, and research and development. The health care’s dependability and reliability varies and can be based on location and subjectivity. Service members not located near a military installation are assigned to civilian health care providers. This is an extremely beneficial procurement of health care, not only due to the immediate availability of civilian providers, urgent cares, and emergency rooms, it also precludes remote service members from having to drive more than 50 miles to visit a physician or