As small businesses respond to the “Big Stay,” they can look to data to help inform decisions about pay.
In this Workforce News Minute video, below, Suzanne Harris, VP Human Resources at NexusTek, shares insights on the power of pay data to build trust.
Employees may not know, “Where’s my salary range coming from? How did they establish my salary? Did they put a wet thumb in the air, or is this just somebody’s opinion? Is this just random?”
But being able to show our employees and our managers, who have to have discussions about compensation with their direct reports, how we arrive at this pay data, how we go about it, how current it is … the size of the data set eliminates a lot of that distrust with management.
When we have the actual data that we can stand behind and show them how we go about it — that’s really important. And that helped our managers to take that emotion out of those conversations that they have to have with direct reports sometimes about salary. When they’ve got the scientific data and the research to back it up.
This article originally appeared on SPARK powered by ADP.