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Factors Affecting a Company Pay Structure One of the key decisions employers must makes the level of compensation provided to employees. Compensation is a significant cost, and employees are one of the most important assets of the organization. It is important that the organization makes and executes good strategic choices. To facilitate this process, many organizations think systematically about its job structures for compensation and pay levels for different jobs An organization's job structure consists of relative pay for different functions and different levels of responsibility. It defines, for example, the difference in pay between entry-level and management Jobs, as well as different entry-level jobs in different departments, such as in production or accounting, Pay level is the average amount that an organization pays for a particular job and includes wages, salaries, and bonuses. Job structure and pay levels together form the pay structure, a policy that helps the organization achieve goals related to employee motivation cost control, and the ability to attract and retain talented employees. This activity is important because it will help you distinguish between the various factors that impact an organization's pay structure. The goal of this activity is to classify decisions based on the factors used to establish a pay structure. Read each scenario, then select the factor to which it best applies 1. An online retailer revises its pay rate for female workers to make it comparable to the rate paid to male workers in the same job. Legal Requirement Click to select) Legal Requirements their pay to what they think workers in other companies earn for doing the same jab Organizational Goals Market Forces 2. The HR director of the new Wilmington Medical Center hos devised a competitive pay strategy to attract experienced nurses and technicians Click to select 4 Product markets. composed of a company's competitors, place an upper limit on the pay a firm can offer because of the need to be profitable. cick to select S. At Chuck's Burger Bar, management starts all workers at 5800/an hour once their training period ends. reick to select 6. The HR manager at Contemporary Kitchens reviews various job websites on a regular basis to be sure the company's pay structure Is competitive Cack to select) 2. Gino's Pizzeria requires teenagers to obtain working papers before hiring them rclick to selec 8. The Internet has made it much easier for HR managers to find out what kind of pay and benefits competing companies are paying. their employees IClick to select 9. Smithville HR avector meets regularly with the company's CEO to review state mandates for minimum wage and child labor Click to select 1. An online retailer revises its pay rate for female workers to make it comparable to the rate paid to male workers in the same job. Legal Requirements 2. Employees compare their pay to what they think workers in other companies earn for doing the same job Click to select) 3. The HR director at the new Wilmington Medical Center has devised a competitive pay strategy to attract experienced nurses and technicians Click to select 4. Product markets, composed of a company's competitors, place an upper limit on the pay a firm can offer because of the need to be profitable. Click to select) 5. At Chuck's Burger Bar, management starts all workers at $8.00/an hour once their training period ends. Click to select) 6. The HR manager at Contemporary Kitchens reviews various job websites on a regular basis to be sure the company's pay structure 15 competitive Click to select 7. Gina's Pizzeria requires teenagers to obtain working papers before hiring them. Click to select 8. The Internet has made it much easier for HR managers to find out what kind of pay and benefits competing companies are paying their employees IClick to select) 9. Smithville's HR director meets regularly with the company's CEO to review state mandates for minimum wage and child labot (Click to select 10. The Bureau of Lobor Statistics provides an ongoing report that measures wages calories, and benefits paid to the nation's employees Click to select 11. Hourly workers at Bee Gee's Toy Store worked 50 hours a week during the holiday season and were unhappy they were not compensated fatty Click to select 12. Sean walks a fine line when it comes to the pay structure at his marketing services firm. He wants to pay a competitive wage but at the same time he needs to keep costs under control Click to select Legal Requirements Organizational Goals Market Forces Prey 1 of 12