Week 5 Discussion

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University of Phoenix *

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Management

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May 15, 2024

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Week 5 Discussion - Employee Development and Pay Equity [due Day 3] Week 5 Overview Week 5 - Practice: Ch. 2, Strategic Human Resource Management [due Day 5] Discussion Topic Post a total of 3 substantive responses over 2 separate days for full participation. This includes your initial post and 2 replies to other students or your faculty member. Due Day 3 The following exercise introduces you to pay equity in a corporate context and team discussion and collaboration. Complete the exercise, Interactive Analysis: Employee Development – Pay Equity. A transcript of this interactive exercise is also available. Consider what you learned in the experience and respond to the following in a minimum of 175 words: What are your feelings on a traditional salary structure (many levels) vs. simplified pay bands? Have your thoughts on salary structure changed after this exercise? What are the advantages and disadvantages of using salary bands? Due Day 7 Post 2 replies to classmates or your faculty member. Be constructive and professional. Hello Class, In examining the traditional salary structure versus simplified pay bands, it's essential to weigh their respective advantages and disadvantages. Traditional salary structures with multiple levels offer granular differentiation based on factors like experience, skills, and seniority, potentially incentivizing career progression. However, they can foster perceptions of inequity and hierarchy, leading to dissatisfaction among employees and fostering an environment ripe for salary negotiation discrepancies. On the other hand, simplified pay bands provide transparency and clarity, aligning with principles of fairness and equity. They streamline compensation administration, promoting ease of understanding and consistency. This approach can enhance employee satisfaction and mitigate the risk of pay disparities based on subjective factors. Engaging in the Interactive Analysis: Employee Development – Pay Equity exercise likely prompted a reflection on these contrasting models. My sentiments have evolved, recognizing the potential benefits of simplified pay bands in fostering transparency and equity within corporate contexts. However, I acknowledge that both approaches carry their own set of advantages and disadvantages, emphasizing the importance of contextual considerations and organizational priorities in determining the most suitable compensation structure. Milkovich, G. T., & Newman, J. M. (2016). Compensation. McGraw-Hill Education. Gerhart, B., & Milkovich, G. T. (2017). Employee compensation: Theory, practice, and evidence. Routledge.
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