Compensation & Benefits Survey - EY - United States · Compensation & Benefits Survey ... a simple job classification table to help in job ... cash incentives within the compensation

People Advisory Services

Georgia

Compensation & Benefits Survey

2017

Demo version

DEMO-VERSION

This document is proprietary information for the familiarization. It may not be passed on in whole or in part to third parties nor quoted nor disseminated in publicin any way without the prior approval of EY.

GeorgiaCompensation and BenefitsSurvey

2017

EY. COMPENSATION AND BENEFITS SURVEY - DEMO VERSION - 2017 2

• General information about the Survey……………………………………………….........13• Monthly Fixed Pay – summary………………………………………………………….......15• Annual Fixed Pay and Annual Total Pay - summary……….………………………..........21• Remuneration on particular positions……………………………………………………........23• Electronic tool for benchmarking analysis………………………….....………………........25

Volume 2. HR Policies and Practices report

• Key points………………………………………………………………………………….......29• Characteristics of the participants ……………………………………………………….....31• HR Policies and Practices ……………………………………………………………….....33• HR metrics …………………………………………………………………………………......35

Table of contentsGeneral information about Survey

• How to use Compensation & Benefits Survey Report ……………………………………………………………………......5• Methodology of the Survey ……………………………………………………………………………………………....... 5• Structure of the Compensation Package……………………………………………………………………………….... 7• Definitions of Terms used in the Survey ………………………………………………………………………………...... 8• Description of the job code formation ………………………………………………………………………………….... 9 • Description of Categories and Levels ...................................................................................................................10

• List of participants ………………………………………………………………………………………………………….......11• Contact information …………………………………………………………………………………………………………..38

Volume 1. Salary reportDEMO-VERSION


Nana.Khetsuriani

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Nana.Khetsuriani

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Teona.Sharikadze

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Teona.Sharikadze

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General information aboutsurvey

How to use Compensation & Benefits Report This section of the survey contains information on how the data was put together, what it represents, and how to use the report in the most meaningful way possible.

This section sets out the methodology through which the survey was compiled, defines key statistical terms, describes main elements of pay, and also gives a series of tips regarding easy access to various pieces of data.

It is strongly recommended that persons unfamiliar with the usage of such reports read this section carefully before going into the survey report. Even those who have used to deal with such data could find this section a useful.

Methodology of the survey

Participants

• Companies, which operate in the Georgian market (see the section “List of Participants”).

• Survey covers information on persons employed in Georgia. Expatriate packages are not covered by the survey.

Data Collection

• We gathered the data about real jobholders (not the average data on a company level)

• The questionnaire was provided to the participants in the electronic format. Traditionally it consists of four sections:

• Sections A & D covering general information about the company,

• Sections B covering HR policies and practices (including non-cash benefits policies),

• Section C covering remuneration for particular positions.

• While completing the Questionnaire (Section C), participants matched jobs in their companies to the standard jobs defined by EY

for reporting purposes. In this process, called job matching, the Job Descriptions Manual has been used.

• The Job Descriptions Manual was compiled and developed in the electronic format.

• We introduced a simple job classification table to help in job matching process; jobs were matched on the basis of

responsibilities, and not the job title itself. Clarifications were given by telephone in order to ensure that data was given for

appropriate jobs and categories.

• While the questionnaires were being filled out and data submitted, EY representatives could be contacted by participants via a

"hotline" for consultations and explanations.

• The information and data received from each participating company was put into the unified, protected database. Each incoming

questionnaire was checked for accuracy and consistency. In case of any doubts, the consultants contacted participants for

refinements and clarifications.

• The degree to which the information provided corresponded to job duties was examined. Consultants evaluated the data by

position, using a variety of indicators, such as high and low salary levels, accountability of a job holder official and

other indicators, casting doubt on the representative nature of the information for each group of jobs. Any significant vari-

ations were then checked with the provider for accuracy.

• The aggregated data was published in a format guaranteeing confidentiality and preventing the possibility to identify data of

separate companies.

Timeframe

• Data on monthly base salaries was gathered as of June 30, 2017.

• Data on variable pay received by jobholders was gathered for a 12-month period ending June 30, 2017.

DEMO-VERSION

Data presentation

• Information about monthly fixed pay is expressed in GEL before taxation (gross). For companies, which denominate salaries in

foreign currency, we used the exchange rate of the National Bank of Georgia as of 30 June 2017 (2.4072 GEL/USD, 2.7444

GEL/EUR), if another exchange rate was not specified in a certain questionnaire.

• Salary data was presented in an aggregated format, with the use of statistical measures:

• deciles

• quartiles

• median

• average

• In addition to standard jobs, the report also provides information on job groups. Jobs with similar functions and tasks were

included in groups (the level and experience of the jobs may differ). For example, the group FID110 «Accountants» includes such

positions as: FID110.07.10 «Senior Accountant», FID110.08.10 «Accountant» and FID110.09.10 «Junior Accountant».

• The salary data was presented in the three sections: “Monthly Fixed Pay”, “Annual Fixed Pay and Annual Total Pay”, and

“Remuneration on particular positions”.

• Please note that statistics on monthly salary and annual total pay are calculated separately. Therefore, the sum of statistical

measure on a monthly salary for 12 months and the corresponding statistical measure on variable pay, in general, will not

correspond to the annual total pay of the position.

DEMO-VERSION


Structure of the Compensation Package The information was gathered for the following main elements of pay: Monthly Fixed Pay, including:

Monthly base salary Basic element of compensation package; paid on a monthly basis or more frequently, usually guaranteed to the employee by the employment agreement.

Allowances Paid regularly (usually on a monthly basis), always in the same amount, in addition to the base salary; usually linked to the function or working conditions (e.g. allowance for harmful conditions). These allowances may be statutory or company-provided.

Guaranteed payments Payments predefined in the amount or percentage of a basic salary and are paid to employees. Payments that are not connected to employee or company performance. This type of remuneration is typically paid monthly or at the end of the year.

+ Variable Pay, including:

Annual performance-related bonus Bonus paid only if company / employee meet certain annual goals. May be determined as a percentage of basic salary or based on other approach.

Monthly, quarterly and semi-annual bonuses Bonus paid to the employee on a monthly/ quarterly/ semi-annual basis, if company/ employee meets certain goals in the respective period.

Commission remuneration Bonus paid to the employee after carrying out commercial operations /

transactions, usually calculated as a percentage of the transaction amount.

Long-term incentive payments Cash payments to employees according to long-term incentive programs (e. g., bonuses based on the valuation of the company’s shares, price of the company, company's key performance indicators, progress towards long-term projects, etc.)

Other forms of variable pay Other forms of variable pay not covered in the previous categories.

= Annual Total Pay Sum of all the elements paid to a certain jobholder in annual terms. This

is the main information for benchmarking, as it describes the overall remuneration for the jobholder.

In the final report we present information regarding total monthly fixed pay, total annual pay and each element of variable pay for each of the jobs. However, the most important information concerns:

• Monthly Fixed Pay

• Annual Total Pay Structure of the compensation package (Fixed / Variable) The Survey also contains the proportion between the Fixed Pay and Variable Pay for each job. The average structure of the package shows how widespread are cash incentives within the compensation package for each position. The average percentage of Variable Pay in the Annual Total Pay is calculated for each job. This figure is calculated by determining

the percentage of variable pay for each jobholder and then taking the median of this data.

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Definitions of Terms used in the Survey Number of incumbents For each position, the number of employees reported by participants is presented. The higher the number, the more reliable are the results. Deciles For the purposes of statistical analysis, all the data is organized in an ascending order. Lower decile is the parameter that describes the first 10th percent of the sample. For example, if there were 100 employees on a Financial Analyst position and their salaries were organized in the ascending order, the 10th lowest salary would be the figure for the lower decile. Similarly, the upper decile describes the 90th percent point of the sample (in the above example — the 90th salary). Generally speaking, deciles “cut off” the lower and upper 10 percent of the sample, due to this they describe the sample much better than the minimum and maximum that can sometimes be misleadingly extreme. Quartiles The abovementioned approach is used, the only difference is that quartiles represent respectively 25th percent (first or lower quartile) and 75th percent (upper quartile) of the sample, i.e., 25th salary out of 100 and 75th salary out of 100. Quartiles are considered as a stable and valid measure, because they represent the middle 50 percent of the sample (i.e., 50 percent of the salaries are between first and third quartile). Median Median represents the salary of the middle employee in the sample (or the average of the two middle employees if the number of data points in the sample is even). It is used for the purposes of compensation analysis due to its stability. Median shows the value that is considered to be “the most representative” for the distribution. For example, the answer to the question “How much is HR Specialist paid?” would be the value of the median. Average Standard arithmetic average calculated as a sum of all the salaries divided by the number of incumbents. Average itself is not a good measure, because it is highly sensitive to the extreme minimum and maximum values. However, it is commonly used together with the median, because it serves properly as a “control parameter”, and the comparison of both values gives additional information on the distribution of the sample.

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Description of the job code formation

The scheme below shows an example of job code formation, and also the link between the organizational structure and individual job code.

Warehouse worker LOG300.10.40

LOG 300 10 40

Function (In example – Logistics)

Number of subfunction to which the given position is matched (In example – The Department of Warehousing as Logistics subfunction)

Level of position (1-10)

Number of position in the given subfunction at the given level. For example, if subfunction at one level has three positions, the last digits of their codes will be, respectively, 10, 20 and 30.

“Where should I look if I want to know…”

…what “lower decile” really means? How to use this salary survey

…what is the average remuneration for middle management?

Monthly Fixed Pay and Annual Total Pay – information by levels

…what is the monthly fixed pay of HR Director?

Monthly Fixed Pay

…what is the annual fixed pay and annual total pay for a Senior Accountant?

Fixed Pay and Total Pay

…how much I should pay my Sales Representative?

Remuneration on particular positions

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Description of Categories and Levels

Job categories used in the survey

Level Examples of job titles

Top Management

1 CEO / President

2 First Deputy of CEO / First Vice-President

Senior Management

3 Vice-President / Director

4 Head of Department / Directorate

Middle Management

5 Head of Division

6 Head of Division (Unit) / Manager

Professional

7 Chief / Leading Specialist

8 Specialist

Clerical / Manual Workers

9 Junior Specialist / Worker 5-6th grade

10 Assistant / Worker 1-4th grade

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List of participants

1. Abbott

2. APM Terminals Poti

3. Arvato CRM Georgia

4. Askaneli Brothers

5. Batumi International Container Terminal

6. Bitfury Georgia

7. Easter European Centre for Multiparty Democracy

8. Elit Electronics

9. EU-Georgia Business Council Representative Office in Tbilisi

10. Friedrich-Ebert-Stiftung South Caucasus Office / Georgia Office

11. Georgian Branch of IDS Borjomi Beverages Company Co.

12. Georgian Railway

13. Georgia's Reforms associates

14. GlaxoSmithKline Georgia

15. Halyk Bank Georgia

16. HE Rental

17. Lomisi (EFES Georgia Operation)

18. National Democratic Institute

19. Neogas

20. Oriflame Georgia

21. PSP Pharma

22. Rompetrol Georgia

23. SAGA Impex

24. Sante GMT Products

25. SICPA Security Solutions Georgia

26. Sun Petroleum Georgia

27. Transparency International Georgia

28. United Nations Development Programme in Georgia

29. Veon Georgia (Beeline)

30. Company A*

List of participants of General Industry Survey - 2017*

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* The list of participants of Volume 1 “Salary report” and Volume 2 “HR Policies and Practices report” may insignificantly vary from this list ** One participating company preferred not to disclose its name

DEMO-VERSION

Georgia

Compensation and BenefitsSurvey2017

Volume 1. Salary report

DEMO-VERSION

Information bypositions and by EYlevels

Information onmonthly fixed pay

ACTUAL

PLAN

Text

Summary

67% of participatingcompanies increased salariesduring the period from July2016 to June 2017

6%Actual salary increase

(median)

67% of participatnig companies havealready planned salary increase for the

period from July 2017 to June 20185%

Planned salary increase(median)

Information on totalannual pay

Information on citiesand regions ofGeorgia

7


30 companiesparticipated in thesurvey

Data as of June 30,2017

Monthly Fixed Pay –summary

Gross monthly fixed pay expressed in GEL, including allowances and "guaranteed" payments as of 30 June 2017

Job Code Job TitleLower

decile

First

quartileMedian

Third

quartile

Upper

decileAverage

Number of

incumbents

ADM000.04.10 Administration Director

ADM100.06 Office / Housekeeping Managers

ADM100.06.10 Office Manager

ADM100.06.20 Housekeeping Manager

ADM100.07.10 Senior Translator / Interpreter

ADM100.08.20 Personal Assistant to General Manager

ADM100.09.15 Executive Assistant / Secretary 918 937 1,225 1,513 1,985 1,328 8

ADM100.09.20 Department Assistant

ADM100.10.10 Receptionist

ADM300.06.10 Office Supplies Manager

ADM300.08.10 Office Supplies Specialist

ADM400 Documentation Coordinators

ADM400.08.10 Documentation Coordinator

ADM400.10.10 Archivist

ADM500.06.10 Fleet Manager

ADM500.07.10 Head of Transport Unit

ADM500.08.10 Traffic / Transportation Coordinator

ADM500.10 Drivers

ADM500.10.10 Driver

ADM500.10.20 Personal Driver

ADM600.08.10 Facilities Engineer

ADM600.10 Mechanics / Sanitary Technicians / Electricians (Office)

ADM600.10.10 Mechanic

ADM600.10.20 Sanitary Technician

ADM600.10.40 Cleaner

CAC100.07.09 Call Center Supervisor

CAC100 Call Center Operators

CAC100.08.10 Senior Call Center Operator

CAC100.09.10 Call Center Operator

CCD200.06.10 Head of Real Estate Search and Evaluation Unit

CLS000.04.10 Customer Service Director

CLS100.08.10 Post-sale Service Engineer

CLS200.06.10 Customer Service Manager

CLS200 Customer Care Specialists

CLS200.07.10 Leading Customer Service Specialist

CLS200.08.10 Customer Service Specialist

CLS200.09.10 Junior Customer Care Specialist

FID000 Finance Directors

FID000.03.10 Finance Director (Board)

FID000.04.10 Finance Director

FID100.04.10 Head of Financial Department

FID100.06.10 Planning and Economic Unit Head

FID110.05.10 Chief Accountant

FID110.06.10 Deputy Chief Accountant

FID110 Accountants

FID110.07.10 Senior Accountant

FID110.08.10 Accountant

FID110.09.10 Junior Accountant

FID110.10.10 Cashier

FID120.08.20 Accounts Receivable Control Specialist

FID130.05 Finance Controllers

FID130.05.10 Chief Finance Controller

FID130.06.10 Finance Controller

Monthly fixed pay Georgia

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decile

First

quartileMedian

Third

quartile

Upper

decileAverage

Number of

incumbents


FID130 Finance Analysts / Economists

FID130.07.10 Chief Finance Analyst / Chief Economist

FID130.08.10 Finance Analyst / Economist

FID130.09.10 Junior Finance Analyst

FID300.05.10 Head of Treasury

FID300 Specialists of Treasury

FID300.08.10 Specialist of Treasury

GEM000.01.10 General Manager

GEM000 General Directors / Viсe-Presidents Deputy

GEM000.02.10 First Deputy General Director / First Viсe-President

GEM000.03.10 General Director / Viсe-President Deputy

GEM000.06.10 General Director Advisor

GEM300.02.10 Representative Office Head

HRD000 HR Directors

HRD000.04.10 HR Director

HRD100.04.10 Head of HR Department

HRD100.05.10 HR Business Partner

HRD200.06.10 Human Resources Manager

HRD200 Human Resources Generalists

HRD200.07.20 Leading Human Resources Generalist

HRD200.08.10 Human Resources Generalist

HRD200.10.10 HR Assistant

HRD300 Training and Development Specialists

HRD300.07.10 Chief Training and Development Specialist

HRD300.08.20 Internal Trainer

HRD400.06.10 Compensation and Benefits Manager

HRD600 HR Administration Specialists

HRD600.07.10 Chief HR Administration Specialist

HRD600.08.10 HR Administration Specialist

HSE100.06.10 Labor Safety Manager

HSE100 Labor Safety Inspectors / Specialists

HSE100.08.10 Labor Safety Inspector / Specialist

HSE120 Fire Safety Specialists

HSE120.08.10 Fire Safety Specialist

IAT000.06.10 Internal Audit Manager

IAT000.07 Internal Auditors

IAT000.07.10 Chief Internal Auditor

IAT000.08.10 Internal Auditor

ITD000 IT Directors / Chief Information Officers

ITD000.04.10 IT Director

ITD000.06.10 IT Manager

ITD001 IT Specialists

ITD000.07.50 Senior IT Specialist

ITD000.08.10 IT Specialist

ITD000.09.10 Junior IT Specialist

ITD130 System Analysts

ITD130.07.10 Senior System Analyst

ITD130.08.10 System Analyst

ITD130.09.10 Junior System Analyst

ITD135.05.10 System Architect Unit Head

ITD200.06.10 Database Administration Unit Head

ITD200.07.10 Database Administrator

ITD305.08.10 Service Desk Specialist (Helpdesk)

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decile

First

quartileMedian

Third

quartile

Upper

decileAverage

Number of

incumbents


ITD500 Information Security Specialists

ITD500.07.10 Senior System Administrator

ITS000.03.10 Software Development Director

ITS110.06.10 Team Lead, General Software

ITS110 Developers (General)

ITS110.07.30 Senior Developer, General

LEG000 General Counsels

LEG000.04.10 General Counsel

LEG100.06.10 Head of Legal Unit

LEG100 Legal Advisors

LEG100.07.10 Senior Lawyer

LEG100.08.10 Legal Advisor

LEG100.09.10 Junior Lawyer

LEG300 In-House Lawyers

LEG300.08.10 In-House Lawyer

LEG300.09.10 Junior In-House Lawyer

LOG100.05.10 Head of Logistics Department

LOG100.06.10 Logistics Manager

LOG100 Logistics Specialists

LOG100.07.10 Senior Logistics Specialist

LOG100.08.10 Logistics Specialist

LOG110.05.10 Import / Export Unit Head

LOG110.06.10 Import / Export Manager

LOG110 Import / Export Coordinators

LOG110.08.10 Import / Export Coordinator

LOG120.10.10 Truck Driver

LOG120.10.20 Delivery Driver

LOG130 Customs Clearance Specialists / Customs Applicants

LOG130.08.10 Customs Clearance Specialist / Customs Applicant

LOG300.06.10 Warehouse Manager

LOG300.07.10 Warehouse Shift Supervisor

LOG300.08.10 Warehouse Specialist / Supervisor

LOG300.09.10 Warehouse Administrator

LOG300.10.10 Warehouse Loader

LOG300.10.20 Fork-lift / Storing Equipment Driver

LOG300.10.40 Warehouse Worker

LOG500.10.10 Logistics Assistant

LSS000.04.10 Supply Chain Director

LSS100 Distribution Specialists

LSS100.07.20 Leading Distribution Specialist

LSS100.08.10 Distribution Specialist

LSS200.04.10 Purchasing Director

LSS200.06.10 Purchasing Manager / Head of Purchasing Unit

LSS200 Purchasing Specialists

LSS200.07.10 Chief Purchasing Specialist

LSS200.07.20 Leading Purchasing Specialist

LSS200.08.10 Purchasing Specialist / Buyer

LSS200.09.10 Junior Procurement Specialist

MAR000 Marketing Directors

MAR000.03.20 Marketing Director (Board)

MAR000.04.20 Marketing Director

MAR200.06.10 Marketing Manager

MAR200 Marketing Specialists

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decile

First

quartileMedian

Third

quartile

Upper

decileAverage

Number of

incumbents


MAR200.07.10 Leading Marketing Specialist

MAR200.08.10 Marketing Specialist

MAR205.08.10 Designer

MAR400.06.10 Marketing Communications Manager / PR Manager

MAR400 PR Specialists

MAR400.07.10 Leading PR Specialist

MAR500.06.10 Product / Brand Manager

MAR600 Social Media Marketing (SMM) Specialists

MAR600.08.10 Social Media Marketing (SMM) Specialist

MAR900.06.10 Digital Manager

ORO220.06 Gas / Service Station Managers

ORO220.06.10 Gas/Service Station Manager 1

ORO220.07.10 Gas/Service Station Shift Manager

ORO220.09.10 Gas/Service Station Operator

PHS120.07.10 Senior Medical Representative

PHS120.08.10 Medical Representative

PMD000.06.10 Project Manager

PMD000 Project Management Specialists

PMD000.07.10 Chief Project Management Specialist

PMD000.08.10 Project Management Specialist

PRD000.03.10 Production Director

PRD100.05.10 Production Manufactory Manager

PRD100.06.10 Production Unit Manager

PRD100.07.10 Production Unit Foreman

PRD100.08.10 Shift Foreman

PRD200 Production Engineers

PRD200.08.10 Engineer (Production)

PRD210 Dispatchers

PRD210.08.10 Dispatcher Control Operator

PRD600.06.10 Chief Utilities Engineer

PRD610 Electrical Engineers

PRD610.07.10 Senior Electrical Engineer

PRD610.08.10 Electrical Engineer

PRD620.10.1 Electrical Fitters

PRD620.10.12 Electrical Fitter (2 Level)

PRD620.10.13 Electrical Fitter (3 Level)

PRD700 Maintenance Engineers

PRD700.07.10 Senior Maintenance Engineer

PRD700.08.10 Maintenance Engineer

PRD700.10.1 Mechanic Fitters / Repairmen

PRD700.10.13 Mechanic Fitter / Repairman (3 Level)

PRD700.10.3 Electrical and Gas Welders

PRD700.10.33 Electrical and Gas Welder (3 Level)

PRD900.09.1 Line Operators

PRD900.09.12 Line Operator (2 Level)

PRD901.10.1 Crane Operators

PRD901.10.12 Crane Operator (2 Level)

PRD902.10.2 Core Production Workers

PRD902.10.21 Core Production Worker (Entry Level)

PRD902.10.22 Core Production Worker (Qualified)

PRD902.10.23 Core Production Worker (Highly Qualified)

QUC000.04.10 Quality Assurance Director

QUC100.06.10 Quality Assurance Manager

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decile

First

quartileMedian

Third

quartile

Upper

decileAverage

Number of

incumbents


QUC100 Quality Assurance Specialists

QUC100.07.10 Chief Quality Assurance Specialist

QUC100.08.10 Quality Assurance Specialist

RSD100 Laboratory Technicians

RSD100.08.10 Senior Laboratory Technician

RST200.06.10 Retail Store Manager (less than 50 employees)

RST420 Sales Consultants

RST420.10.10 Sales Consultant

SED200.05.10 Head of Security Department

SED220.06.10 Security Manager

SED220.08.10 Security Shiftman

SED220 Security Guards

SED220.09.15 Senior Security Guard

SED220.10.10 Security Guard

SLS000 Sales & Marketing Directors

SLS000.03.10 Sales & Marketing Director (Board)

SLS000.04.20 Commercial Director

SLS100.05 Sales Managers

SLS100.05.20 Regional Sales Manager

SLS100.06.10 Area / Territory Sales Manager

SLS100.07 Sales Representatives

SLS100.08.10 Sales Representative

SLS110.07.10 Merchandisers Supervisor

SLS110.09.10 Merchandiser

SLS200.05.10 Key Account Head

SLS200.07.10 Key Account Supervisor

SLS200.08.10 Key Account Specialist

SLS400 Trade Marketing Specialists

SLS400.08.10 Trade Marketing Specialist

SLS500.06.10 Category Manager

SLS700.06.10 Sales Manager

SLS700.07.10 Leading Sales Specialist

SLS710 Sales Development / Support Specialists / Analysts

SLS710.07.10 Sales Development / Support Leading Specialist

SLS710.08.10 Sales Analyst

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EY People Advisory Service

Annual Fixed Pay andAnnual Total Pay - summary

Annual fixed pay and annual total pay

Gross annual fixed pay in GEL

Gross annual total pay in GEL

Information for the period: July 2016 - June 2017


decile

First

quartileMedian

Third

quartile

Upper

decileAverage

Number of

incumbents













ADM100.09.15 Executive Assistant / Secretary 11,021 11,253 14,700 18,161 23,823 15,931 8

ADM100.09.15 Executive Assistant / Secretary 11,108 12,245 16,375 19,066 25,612 17,062 8





















ADM500.10 Drivers

ADM500.10 Drivers

ADM500.10.10 Driver

ADM500.10.10 Driver















Georgia

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Remuneration on particularpositions

Position title: Executive Assistant / Secretary

Code: ADM100.09.15 Number of companies-participants: 7

<5 5-10 10-20 20-50 50-100 100-200 200-500 500-1,000 >1,000

14.3% 0.0% 0.0% 0.0% 28.6% 14.3% 14.3% 28.6% 0.0%

<50 50-100 100-200 200-500 500-1,000 1,000-2,000 2,000-5,000 >5,000

14.3% 0.0% 0.0% 28.6% 28.6% 14.3% 14.3% 0.0%

3. Monthly fixed pay, Annual Fixed Pay and annual total pay (GEL gross)

Entry-level

salary (median)Lower decile First quartile Median Third quartile Upper decile Average

Number of

incumbents

Georgia

- 918 938 1,225 1,513 1,985 1,328 8

- 11,021 11,253 14,700 18,161 23,823 15,931 8

N/A 11,108 12,245 16,375 19,066 25,612 17,062 8

Tbilisi

- 918 938 1,225 1,513 1,985 1,328 8

- 11,021 11,253 14,700 18,161 23,823 15,931 8

N/A 11,108 12,245 16,375 19,066 25,612 17,062 8

Base salary 8 918 1,225 1,789 1,263

Company allowances 2 - - - N/A

Statutory allowances - - - - -

Amount of other monthly fixed payments 1 - - - N/A

Annual performance-related bonus 4 - 1,505 - 1,605

Quarterly and semi-annual bonuses 1 - - - N/A

13th salary and other guaranteed annual payments 2 - - - N/A

Monthly payments and commission remuneration - - - - -

Amount of other annual variable payments 2 - - - N/A

1. Characteristics of companies-participants

Sales volume (mln USD)

% of companies-participants

Number of employees

% of companies-participants

2. Characteristics of the incumbents

Level of professional qualificationForeign language skills are

necessary for this positionInternational experience

37.5% N/A

Actual scope of responsibilities Slightly lower than in Job Description ManualsExactly like in Job Description

ManualsSlightly higher than in Job Description Manuals

Information on compensation is published only if data on position have been provided by not less than three companies-participants.

Only those regions meeting the above requirement are presented below.

Monthly fixed pay

Annual Fixed Pay

Annual total pay

12.5% 87.5% 0.0%

Monthly fixed pay

Annual Fixed Pay

Annual total pay

6. Compensation structure

Percentage of incumbents

recevied variable pay within

position

75.0%

4. Elements of monthly fixed pay (GEL gross per month)Number of

incumbents

TOTAL VARIABLE PAY 6 688 1,505 2,330 1,507

Compensation structure (median) among such

companies:

Annual fixed pay 92.6%

Annual variable pay 7.4%

5. Elements of annual variable pay (GEL gross per year)Number of

incumbents

FROM

(lower decile)Median

TO

(upper decile)Average

FROM

(lower decile)Median

TO

(upper decile)Average

DEMO-VERSION


Electronic tool forbenchmarking analysis

DEMO-VERSION

► The determination of thecompany market position

► Position of company`s jobs againstthe market

► The results of the benchmarking analysis withmarket by levels and categories

► The deviation rate of employee’ssalaries with market data

Job Name Overpayment Job Name Underpayment

Courier - Kyiv +244% HR Director (Board) - Kyiv -43%Transportation Coordinator / Operator -Lviv

+171% Chief Purchasing Specialist - Kyiv -38%

Area / Territory Sales Manager -Kharkiv +157% General Counsel (Board) - Kyiv -34%

Transportation Coordinator / Operator -Ukraine +131% Head of Support Department - Kyiv -34%

Head of Call Center - Kyiv +105% Head of Supply Chain Department -Kyiv -25%

Housekeeping Manager - Kyiv +105% Finance Director (Board) - Kyiv -24%Transportation Coordinator / Operator -Donetsk

+100% Head of Security Department - Kyiv -23%

Transportation Coordinator / Operator -Kharkiv

+95% Sales Trainer - Dnipropetrovsk -23%

Project Management Specialist -Ukraine +94% Head of Trade Marketing - Kyiv -21%

Area / Territory Sales Manager -Donetsk +92% Office Manager - Kyiv -21%

The most overpaid positions The most underpaid positions

► The deviation analysis of employeessalaries on market indicators

► The positions, departments, levels andregions that have the highest deviationfrom the Survey data

► Comparison table - a detailed comparison of each position / employeeof the company with the market

The results of the Electronic tool for benchmarking analysis usage are presented below

The Participants of the Surveys can visit the training “How to use the Tool” for free

EY Level Standard EY levels description Low erDecile

FirstQuartile

Median ThirdQuartile

UpperDecile

1 This level represents personnel of ''Top Management'' Job categoryExamples of job t itles: CEO / President 0% 100% 0% 0% 0%

2 This level represents personnel of ''Top Management'' Job categoryExamples of job t itles: Firs t Deputy of CEO / First Vice-President

N/A N/A N/A N/A N/A

3 This level represents personnel of ''Senior Management'' Job categoryExamples of job t itles: Vice-President / Director 50% 50% 0% 0% 0%

4 This level represents personnel of ''Senior Management'' Job categoryExamples of job t itles: Head of Department / Directorate

0% 0% 100% 0% 0%

5 This level represents personnel of ''Middle Management'' Job categoryExamples of job t itles: Head of the Division 10% 40% 10% 40% 0%

6 This level represents personnel of ''Middle Management'' Job categoryExamples of job t itles: Head of Division (Unit) / Manager

0% 11% 11% 36% 42%

7 This level represents personnel of ''Professionals '' Job categoryExamples of job t itles: Chief / Leading Specialist 8% 11% 40% 30% 11%

8 This level represents personnel of ''Professionals '' Job categoryExamples of job t itles: Specialist

0% 3% 22% 42% 33%

9 This level represents personnel of ''Clerical/Manual Staff '' Job categoryExamples of job t itles: Junior Specialist / Worker of 5-6th grade 0% 0% 44% 31% 25%

10 This level represents personnel of ''Clerical/Manual Staff '' Job categoryExamples of job t itles: Assistant / Worker of 1-4th grade

0% 2% 14% 36% 48%

1% 2%13%

29%

4%13%

38%

66%

74%

67%

66%

87%

61%

32%

13%

4%

30%

Lower Decile First Quartile Median Third Quartile Upper Decile Average

More than 25% underpay in comparison with the market benchmarkIn line with the market benchmarkMore than 25% overpay in comparison with the market benchmark

► Comparative graph is an illustrative representation ofthe positions’ remuneration levels (the company data andthe market)

Electronic tool for benchmarking analysisElectronic tool for benchmarking analysis (hereinafter – the Tool) is provided with Salary report and allows for comparing salary levels in yourcompany with corresponding market indicators on your own. Furthermore, the Tool allows the following:

• The Tool saves time you spent for analysis

• The results are presented in simple and illustrative format

• There is a possibility to prepare a brief analysis in PowerPoint or Excel format

Additional options:

• Converting Survey data from Gross to Net and Net to Gross

• Conducting the comparative analysis in any currency (GEL / USD / EUR)

• Updating data on the percentage of market movement


Georgia

Compensation and BenefitsSurvey2017

Volume 2. HR Policies and PracticesReport

HR Policies and Practices report table of contents*

• List of the participants

• Characteristics of the participants

• Salary arrangements

• Salary regulation

• Grading pay structure

• Market benchmarking policy

• Salary adjustments

• Frequency of salary adjustments

• Actual salary changes

• Planned salary changes

• Short- and long-term incentive programs for employees

• Short-term incentive programs

• One-time variable pay

• Project variable pay

• Regular variable pay

• Requirements/approaches for participation in the short-term variable pay program

• The approach for determining the budget for the short-term variable pay

• Principles of variable pay determination

• Indicators that are used for calculation of variable pay

• Peculiarities of short-term incentive programs for employees of sales division

• Long-term incentive plans (LTIPs)

• Performance management

• Management by objectives / key performance indicators (KPIs)

• Management by competencies

• Performance management metrics

• Sales employees

• Social benefits and allowances

• Benefits and non-monetary compensation

• Training and professional development

• Health insurance

• Additional insurance

• Automobiles

• Loans

• Other benefits

• Working time arrangements

• Business trips policy

• Recruitment policy

• Expatriate employees policy

• Other features of HR policies

• HR metrics

* The table of contents of each report may vary due to the number of participants / quantity of provided information

DEMO-VERSION


DEMO-VERSION

Key points

Parti

cipan

ts

Insurance

_% of Participating companies are _% foreignowned companies

__% of companiesrely on market indicators while

reviewing salaries. The majority ofthem rely on

median and 3rd quartile

Salar

ycha

nges

__% ofcompanieshave already

planned a salaryincrease in 2017

of __%

__% of companies by __%



__% of companies by __% __%

__%

__%

__%

__%

__%

2012

2013

2016

2015

2014

2017

The majorityof companies -

__%,review salaries in January

Salar

yarra

ngem

ents __% of companies have changed the salary

denomination currency, the majority moved from foreigncurrency to local currency

__% of companiesuse graded pay structure, as in the

previous year

__% of companiesare planning to develop / implement a

graded pay structure in the next 12months

Banks

__%

__% of companies

Salary increase: actual (July 2016 / June 2017)

Insurance

__% of companies

__%

Agrochemical

__% of companies

__%

__% of companies__% of companies __% of companies __% of companies__% of companies

__%__% __% __%__%

Production Pharma FMCG Retail

__% of companies __% of companies__% of companies __% of companies__% of companies __% of companies __% of companies__% of companies

__% __%__% __%__% __% __%__%

Salar

ycha

nges

byin

dust

ry

__%

__%

__%

__%

__%

__%

__%

__%

__%

__%

__%

__%

Cash

comp

ensa

tion

stru

ctur

eBe

nefit

s

__% of companiesuse variable pay, that is _% more

than in the previous year

__% of companiesuse short-term incentive plans, whichis 9% more than in the previous year

Health insurance2016 2017__% __%

Pension plan2016 2017__% __%

Tablets2016 2017__% __%

Sports2016 2017__% __%

Transportation of employees2016 2017__% __%

Mobile phones2016 2017__% __%

Meals2016 2017__% __%

Loans2016 2017__% __%

Benefits(% of companies)

Top Management

Senior Management

Middle Management

Professional / Clerical

Manual Workers

__% - minimum % of salesplan accomplishment required for

bonus eligibility for salesdepartment specialistsCompany in general

Sales departmentFixed payVariable pay

__%

__%

__%

__%

__%

__%

__%

__%

__% general st af f t urnver rat e in 2017(in 2016 –__%)

Staf

f

__%

__%

__%

Companies’ employment plans for the next year,% of companies

Plan to reduce number of staffin 2017 by __% on average

Plan to keep number of staff

Plan to increase number ofstaff in 2017 by __% onaverage

Top-5 priorities in HR agendas in 2017,% of companies

1

2

3

4

5

__% __%__%

__%

__% __% __% __%

__% __%__%

__% __% __% __% __%

Banks Production Retail Insurance Pharma FMCG Telecom Agrochemical

General staff turnover rate by industry (median)

2015

2016

The top-3 scarcest skills for management

The top-3 scarcest skills for other specialists

1

2

3

1

2

3

__ yearsis the average length of

employee’s service in oneposition, as was in 2015

Staf

ftur

nove

r

Banks

FMCG

Telecommunication

Oil & Gas

Retail

Salary increase: plan (July 2017 / June 2018)

__% of

companiesreview salaries

annually, that is _% lessthan in the previous

year, due to an increasein the number of

companies that reviewsalaries less frequently

than annually

__% of companies by _%

__% of companies by _%

__% of companies

denominate salaries in foreign

currency, that is _% less than in theprevious year

__% of companies

apply regional coefficients, that is _%

more than the previous year’s indicator

__% of companies outsource payroll

calculation to an external provider, that is _% less than

in the previous year

__% of companies

use long-term incentive plans, that is

_% less than in the previous year

GEL ___is the annual training budget (median GEL

amount per employee trained) which is _%lower than in the previous year

__% of companies

provide trainings to employees, that is _%

less than last year’s indicator

_% of companies track training

needs, which is _% more than in 2015

Benefits for employee’s children2016 2017_% _%

Company cars2016 2017__% __%

__% of companies

lease personnel from external providers,

that is _% more than in the previous year

__% of companies

use services of recruitment agencies

(_% in 2015)

__% of companies

offer internship programs, which

is _% more than the previousyear’s indicator

__% of employees

changed positions in 2016,

which is _% more than in theprevious year

Telecom

EY. COMPENSATION AND BENEFITS SURVEY (GEORGIA) - DEMO VERSION - 2016 31

30 participating companies

Participating companies represent more than _ differ-ent industries. The majority of participants are largecompanies (employing more than _ employees) withsales volume of _ mln USD

Nataliia.Tkachenko

Typewriter

Key points

Characteristics of theparticipants

Annual revenue, mln USD

Total number of employees

Characteristics of the participants

Total number of participating companies 18

Legal structure Ownership

Joint-stock company

(JSC), 22%

Limited liability company (LLC), 67%

Representative office, 11%

100% locally owned, 22%

100% foreign owned, 72%

Joint venture, 6%

22%

6%

17%

32%

17%

6%

<50

50-100

100-200

200-500

500-1,000

>1,000

38%

17%

11%

6%

17%

11%

<5 mln

5-10 mln

10-20 mln

20-50 mln

50-100 mln

100-200 mln

DEMO-VERSION


HR Policies and Practices

-From local currency to foreign currency 100% 100% - - -

Manual

Workers

% of companies that have planned changes in the

salary denomination currency in the next 12 months6% 6% - - - -

% of

companies

Top

Management

Senior

Management

Middle

Management

Professional/

Clerical

Changes of salary denomination currency

Professional/

Clerical

Manual

Workers

National Bank's exchange rate 100% 100% 100% 100% 100% 100%

Foreign currency

Exchange rate policy% of

companies

Top

Management

Senior

Management

Middle

Management

Salaries denominated in foreign currency 6% 12% 6% 6% 6%

*The amount of percentages may exceed 100, as some companies cas use more than one currency

Different policies are used for different categories of

personnel22% - - - -

94%

Salaries of all employees denominated in foreign currency 6%

Different policies are used for different categories of personnel 22%

Top ManagementSenior

Management

Middle

Management

% of companies

Salaries of all employees denominated in local currency 72%

94%

Further in this section policies and practices applies only for Georgian employees

Currency regulations

Professional/

ClericalManual Workers

Salaries denominated in local currency 72% 88% 94%

Salary arrangements

100% 100% 100% 100% 100% 100%

20% 20%

50%

0% 0% 0%

% of companies Top Management Senior Management Middle Management Professional/Clerical Manual Workers

USD EUR

DEMO-VERSION


HR metrics

DEMO-VERSION

HR Metrics

• Organizational effectiveness

• Annual Revenue per FTE

• Annual average cost per FTE

• Annual profit per FTE

• …and other HR metrics

• Organizational structure

• Percentage of managers in total headcount

• Percentage of workers in total headcount

• New hires ratio


• Rewards and benefits

• Annual average remuneration

• Annual average cash compensation

• Percentage of total cash compensation costs in total personnel costs


• Recruiting

• Share of external and internal employment

• Cost per hire

• Average monthly number of job openings


• HR Function

• Annual HR budget per FTE

• Annual HR budget of the company/Total company costs

• Percentage of employees by types of employment


DEMO-VERSION

Contact information

Contact information

Zurab [email protected]. +995 (32) 215-8811

Tina KachakhidzeSenior [email protected]. +995 (32) 215-8811

Olena [email protected]. +380 (44) 499-2404

Miranda MorchadzeSenior [email protected]. +995 (32) 215-8811

Nana [email protected]. +995 (32) 215-8811

EY. Compensations & Benefits Survey - 2015

Teona [email protected]. +995 (32) 215-8811

DEMO-VERSION


mailto:[email protected]






©2018 EY Georgia LLC

All rights reserved.

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Documents

Compensation & Benefits Survey - EY - United States · Compensation & Benefits Survey ... a simple job classification table to help in job ... cash incentives within the compensation