Compensation policy choices affecting pay level are most closely associated with _____.

Question

Quizplus · Accepted Answer

Compensation policy choices affecting pay level are most closely associated with external competitiveness, as they are aimed at ensuring the organization's pay structure is competitive relative to other organizations in the same labor market or industry. This can include setting a minimum or target pay level for certain jobs or job families, and adjusting pay scales or ranges to reflect changes in the external market. Internal alignment focuses on ensuring pay equity and consistency within the organization's own job structure, while contributions and management may influence individual pay decisions but are not directly related to overall compensation policy choices affecting pay level.

Compensation Policy Choices Affecting Pay Level Are Most Closely Associated