The economy has been expanding for over eight years and economists expect continued growth for the foreseeable future. Wages are increasing and people who have been out of the workforce are returning. Yet U.S. businesses continue to report a shortage of qualified candidates for open positions. A survey by staffing firm Adecco found nearly [...]
We've found that business owners - especially those in middle market companies - are often surprised by how much it costs to replace an employee. According to Zane Benefits, a CAP study found average costs to replace an employee are: 16% of annual salary for high-turnover, low-paying jobs (earning under $30,000 a year). So [...]
Our economic growth is flourishing! The United States’ unemployment rate is as low as 3.9 percent, as reported by the United States Bureau of Labor Statistics (BLS) and our real gross domestic product (GDP) increased at a rate of 4.2 percent in the second quarter of 2018, according to a “second estimate” by the [...]
Barely a day goes by without some mention of pay equity. Whether it’s in the news or in a briefing from your legal firm or HR society, there is quite a buzz about pay equity – and for good reason: The National Women’s Law Center (NWLC) published a report based on the most recent [...]
We are often involved in reviewing a client’s sales compensation plan document for clarity and completeness. What we find when we read this document is that it appears to have been “written by attorneys for attorneys.” If your sales compensation plan document is the primary means by which you communicate compensation to your sales [...]
“In a false quarrel there is no true valour.” (Benedick, Act 5 Scene 1) Pay Ratio reporting was inserted into Dodd-Frank at the urging of organized labor. The AFL-CIO has tracked the ratio of the average proxy reported total compensation of S&P 500 CEOs to the Bureau of Labor Standards’ average wages paid to [...]
Here's what we're seeing as the trends in executive pay Base Salaries Consistent with recent years, median increase will be 3% 42% held CEO salaries flat, 17% held flat for other executives With repeal of Section 162(m) some companies are considering changing base/bonus mix Annual Incentives Goals set based on multiple factors Budget Guidance [...]
By Ann Fosburgh - Compensation Works With significant advances in technology and the availability of reliable internet service as the standard, professionals in every industry have the flexibility to work virtually anywhere. Distributed work forces with teams of employees and managers in different cities are increasingly common. The result of this increasingly global workforce [...]
By Total Compensation Solutions We hear all the reasons why performance management doesn’t work and wonder “are there companies that are doing this well?” I am happy to report that there are companies that take the process seriously and have an effective program in place. There is an insurance company headquartered in the Midwest that [...]
By Total Compensation Solutions Performance management is the scourge of most managers in this country. In my 30 plus years in human resources working in corporations and consulting, one of the most frequent complaints is that the current performance management system just doesn’t work. Why? The two more frequent reasons we hear are: “The merit [...]
