Salary Structure Design

A salary structure is how a company or members of leadership determine how much an employee should get paid. It's based on such factors as how long the employee has worked at the organization, their rank at the company, merit and the type and difficulty of work they do.

Many employers use a salary structure that includes pay grades, which helps employees know the salary range they can expect for their role, with a minimum, maximum and midpoint. The bottom of a pay grade is the minimum salary that someone in this role can earn while the top of the pay grade is the maximum amount an employee can expect to earn in this role. The midpoint is the salary that appears between the two. A new hire or current employee who is up for a raise may be able to negotiate where in the pay grade they fall.

New employees to an organization may start at the bottom of a pay scale because they don't have seniority and may enter into a non-management role. Other new hires, while still new to the organization, may come with a lot of experience and work in a leadership position, in which case they may begin their pay further along the salary structure.

To provide an in-depth understanding and application of the :

1. Balance on the internal equity and external relativity on the remuneration system
2. Design a competitive Salary Structure that aligns with Company Vision Mission Values Objectives