PAY STRUCTURE AND INCENTIVE PLAN

Pay Structure and Incentive Plan

Pay Structure and Incentive Plan

Introduction

In this paper, I have to evaluate the pay structure of a company for its employees. the pay structure as an important part of human resource management is responsible for establishing a definition of salary ranges by level, as the executive, management and staff, based on which the allocation is made of pays to workers, which has a of the main motivators for them. Pays are all compensation earned by men in exchange for a service rendered to their work, which is expected, will serve to solve the basic costs of living, making it an important factor in employee performance, mainly by increases are handled the same.

Internal equity, occurs at the organizational level, and refers to the relative fairness between the pays of employees and the service provided to their work, compared with those received by others. While foreign equity analyzes the fairness of the staff pays relative outside the entity and the type of work and location can be compared with organizations with similar objectives or conflicting.

I think the concept of fairness is important because if an employee perceives an imbalance between their pays and contributions, whether for pay too high or low you may experience a feeling of guilt, but sometimes the employee seeks that there is a balance between them, for example, if an employee perceives that your income is low, can reduce the effort and commitment, or the opposite, and if perceived to be too high, will do more to feel satisfied.

The organization that I have chosen, to analyze and evaluate the current compensation policy and practices, is AT&T. AT&T is an American MNC engaged in the business of telecommunication. The corporate HQ is located in Dallas, Texas, USA. AT&T ...