MHR 523 Chapter 11: Chapter 11 notes
Document Summary
Basic considerations in determining pay rates: legal requirements, union issues, compensation policy, equity. Canada/quebec pension plan throughout the employee"s working life: other legislation affecting compensation, the employment insurance act. Union influences on compensation decisions: union attitudes toward compensation decisions, union leaders fear that any system used to evaluate the worth of a job can become a tool for management malpractice. Compensation policies: compensation policies provide important guidelines regarding the wages and benefits that it pays. Equity and its impact on pay rates: external equity employees perceives his/her pay as fair given the pay rates in other organizations. Internal equity employees perceives his or her pay as fair given the pay rates of others in the organization. Is aimed at determining a job"s relative worth. It is a formal and systematic comparison of jobs within a firm to determine the worth of one job relative to another, and it results in a job hierarchy: compensable factors.
