Sometimes you may need to look more closely at pay for jobs within your company that are particularly critical to your business. Make sure the job and pay structure take relevant job variations into account. For example, a controller position may be a traditional accounting-based role, while another controller supports the sales function.
Similarly, if a long-tenured maintenance worker keeps essential business equipment running while simultaneously training other employees, that person probably has increased his or her market value.
In the age of LinkedIn and Glassdoor, people know what is going on in the marketplace. If you are not meeting their expectations, you could find that your company has dropped the ball in the competition for getting and retaining the best talent.
An analysis of positions in your company can determine if you are paying either below the minimum for the range or above the maximum. These folks could be at risk of leaving the company if their compensation doesn’t represent their value to the organization or in the marketplace.
What can you do if employees are at the top of their pay range? Of course, your organization needs to control salary growth, but don’t be penny-wise and pound-foolish by taking a rigid approach, losing top performers in the process. Instead, address these situations with a mix of alternative reward solutions, proactive career discussions and, in some cases, evaluations of how closely pay is tied to the market.