Friday, September 6, 2019

Two important compensation issues are wage-rate compression Essay Example for Free

Two important compensation issues are wage-rate compression Essay A considerably important issue with gender-related experiences is equal pay for comparable worth. Comparable worth defines the idea that men and women share the same values that should be funded equally in pay. This issue has been created by the idea that jobs performed by women are generally paid less than those performed by men. â€Å"This practice results in what critics term institutionalized sex discrimination. † The issue goes beyond whether a female waitress should be paid the same as a male one. But the tasks involved in any job, should be compared in order to be paid comparably. The differences in these wages occur because of the undervalue mindsight of female-related jobs. The situation set forth involves treating jobs that are somehow equivalent as equal pay opportunities. There is no censusus to evaluate jobs or an agreement on the ability of job evaluation techniques to attempt to solve this gender-related problem. Wage-rate compression is directly related to this concept. A higher rate of pay has people accepting more job-demanding tasks. However, this is being significantly reduced by wage-rate compression. Wage-rate compression is the reduction of differences between classes. For example, the problem begins when people at a company believe their pay is to similar to that of those with lower-level positions. Ultimately, there is no one cause for this concept. Traditionally, this has continued because of union negotiations for higher pay for all salaried positions (of certain value) and management personnel are not usually offered the same negotiations. Identifying these situations is much easier than creating policies to ensure they don’t occur. For example, by giving larger compensation to more senior employees, emphasizing pay-for-performance and merit related tasks, limiting the hiring of new applicants seeking large compensation and providing equity adjustments for selected employees hardest hit by pay compression may all significantly help reduce the impact of this issue.

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