Embed Size (px)
DESCRIPTION
As you consider employee raises and prepare your compensation strategy, it's imperative to have reliable, California-specific data to inform your decisions when building a solid compensation foundation.
Citation preview
California Compensa.on Trends & Pay Prac.ces
Jus.ne Ward Manager, West Coast PayScale, Inc. Karaka Leslie Partnership Manager PayScale, Inc.
www.payscale.com
14,000 Posi.ons
2500 Customers
40 Million Salary Profiles
250 Compensable Factors
11 Countries
Agenda
o 5 Compensa.on Best Prac.ces & Trends
o Immediate Ac.on
o Special! Trends Data For You
o Q & A
• Surveyed over 4,000 respondents • Themes:
– Financial Performance – Wage Growth – Hiring Prac?ces – Reten?on Concerns – Managing Increases
• Company size breakdown:
– Small: < 100 employees -‐ 45% – Medium: 100 -‐ 1,000 employees -‐ 34% – Large: >1,000 employees – 21%
General Market Trends
Five
Compensa.on
Best Prac.ces
1) Understand Your Labor Market
2) Understand Your Jobs
3) Create a Compe..ve Strategy
4) Build a Structure
5) Pay for Performance
Understand Your Labor Market
Understand Your Labor Market
• Who do you compete with?
• Size, Loca?on, Revenue, Industry • Who can you compete with?
Understand Your Labor Market
Understand Your Jobs
Understanding Your Jobs • Work Gets More Specialized
• Hot Skills in California • Not All Jobs Are Created Equal • Hot Jobs in California • Tough to Fill Posi?ons
Hot Skills in California Tech Hadoop Oracle eBusiness Suite iPhone SDK Cloud Compu?ng Ruby Kernel Development Interac?on Design
Healthcare Intensive Care Unit (ICU) Community Health Neonatal Intensive Care Unit (NICU) Pediatric Intensive Care Unit (PICU) Recovery/Post-‐Anesthesia Care Unit (PACU) Computed Tomography (CT) Clinical Educa?on
Other Intellectual Property Mergers and Acquisi?ons Financial Advisor Strategic Partners Lean Process Engineering
Hot Jobs in California Tech Network Administrator, IT Senior Mechanical Engineer Sobware Developer Research Scien?st Programmer Analyst Sobware Development Engineer, Test (SDET) Senior Sobware Engineer Project Manager, Sobware Web Developer Healthcare Physician Assistant (PA) Biller, Medical Office
Finance/HR Business Analyst Staff Accountant HR Assistant Aforney/Lawyer Sales/Marke.ng/Opera.ons Regional Sales Manager Senior Mechanical Engineer Marke?ng Coordinator Project Coordinator Business Development Manager
“The market” changes for each job
$65,000
$70,000
$75,000
$80,000
$85,000
$90,000
$95,000
$100,000
2011 Q1 2011 Q2 2011 Q3 2011 Q4 2012 Q1 2012 Q2 2012 Q3 2012 Q4 2013 Q1
So^ware Developer Pay Across Time
San Diego Los Angeles San Francisco
COLA doesn’t work in California
$45,000
$47,000
$49,000
$51,000
$53,000
$55,000
$57,000
$59,000
$61,000
$63,000
2011 Q1 2011 Q2 2011 Q3 2011 Q4 2012 Q1 2012 Q2 2012 Q3 2012 Q4 2013 Q1
Accountant Pay Across Time
San Diego Los Angeles San Francisco
Understanding Jobs In Markets
Tough to Fill Posi.ons
Create a Compe..ve Strategy
Compe..ve Strategy • Who is your market?
• How compe??ve do you want to be?
• What do you want to reward?
Compe..ve Strategy
Not all individuals, process, func?ons and business units have the same impact on results We need to priori?ze jobs, key employees and business units and then allocate the greatest por.on of its resources to those high priority areas.
Compe..ve Strategy • Talk with senior leadership • Vary strategy by department
• Base your decisions on key roles
Build a Structure
Build a Structure • Ranges/Grades • Internal/External Equity
Build a Structure • Let the structure guide your business forward • Keep it current • Decide what’s important for you
Pay for Performance
Performance Top people concerns among senior business execu.ves are: o Crea?ng a high-‐performance culture o Leadership development
o Talent Management o Training
Market Trend: Ongoing Shib Toward P4P
Source: Hewia Survey – U.S. Salary Increases 2009/2010 and Impact on Org Spend for 2010
When cra^ing next years budget vs. this year the use of Across the board increases down by 50% Use of Variable Pay has increased 300%
Merit Matrix
Immediate Ac.on
Elementary • Know your jobs
• Have an understanding of the market
Intermediate • Discuss a compensa?on strategy with leadership
• Know what you want to reward and what you value
• Build guidelines that reflect a compensa.on strategy that works for your business
Advanced
• Find new and crea?ve ways to incorporate performance pay
• Know how your pay prac?ces stack up against your exact compe??on for talent
• Communicate you pay strategy with management
• Develop a strong compensa.on structure
Immediate Ac.on
PHR & SPHR worth more!
Sneak Peek!
• Customized Salary Report for your HR posi.on • Compe..ve analysis report of a key posi.on at your company • Compensa.on Trends Index Report
• Compensa.on Best Prac.ces Report
PayScale Delivers Where Other Compensa.on Providers Fall Short PayScale leads the world in compensa?on knowledge with the freshest and most detailed data from over 36 million salary profiles. More than 2500 organiza?ons use PayScale’s sobware and intelligence to get the greatest return on their talent. Smart businesses use PayScale Insight to recruit, retain and mo?vate their people. Visit our blog: www.payscale.com/compensa?on-‐today Join our Group on LinkedIN: Compensa?on Today: HR Best Prac?ces
Jus.ne Ward Manager, West Coast PayScale, Inc. Karaka Leslie Partnership Manager PayScale, Inc.
www.payscale.com
