To set pay standards,HRM employs ________.

Question

Quizplus · Accepted Answer

To set pay standards, HRM employs compensation administration, which involves designing and implementing the organization's compensation structure, determining the job's value and pay rates, and regularly reviewing and adjusting pay levels to ensure they are equitable and competitive. This can involve conducting market surveys, establishing pay grades, developing salary ranges, and evaluating employee performance to determine salary increases. While HRM may seek input from outside consultants or peer panels, ultimately, the responsibility for setting pay standards lies with the organization's compensation administration. National pay scales are typically set by governments and may not be relevant to private organizations.

To Set Pay Standards,HRM Employs ________