U.S ARMY PAY RAISE

Pay Raise in the U.S Army

Pay Raise in the U.S Army

Introduction

Considering the compensation, the U.S Army gets promoted faster than any other services of the country. Even though, all the services get paid at the same scale, depending on their rank, since Army provides faster promotions, it is likely that one can earn more money in the Army.

Currently, the there are more than 70 different types of pay and allowances in the U.S military compensation system. In general a term, military pay raise on the annual basis is in proportionate relationship with the wages of the civilians. However, the current laws do not guarantee that U.S military pay will be at automatically set above civilian average pay increment.

Granting a Pay Raise

Payroll problem is now a major drawback in the US military. The Annual military pay raise is directly in link with the increment in the private sector wages, as calculated by the Employment Cost Index (ECI). The ECI is the Department of Labor's instrument for keeping a track over the changes in compensation for state and government employees, also for nearly all workers in the private sector. This keeps the military pay raise proportionate with the trend in the current economy.

“In 1990's, the annual military pay raise was capped at one-half percent below the private-sector growth unless specifically granted a larger increase by Congress. The FY2000 National Defense Authorization Act directed that pay raises for 2000 through 2006 would automatically be one-half percent above the private-sector wage increases. Pay raise beginning in 2007 is equal to the increase in the ECI. Pay raises may exceed this automatic level if authorized as well as fund by Congress”. (Department of Defense, 2010)

Pay Chain of Command

The U.S army soldiers have a formalized pay chain of command. The series consists of unit administrative and finance personnel at all levels of the command chain; First Line Leader, Unit Administrator and Regional Support Command Pay Managers.

Critiques of the Method

The methods adopted by the military, with regard to pay raise, do not provide adequate motivation for its members to perform well. Following are a few critiques of the military pay system:

The pay system emphasizes heavily on prolonged retention of the officer and very less on his promotions.

The pay does not adequately differentiate between people who get promotions on any or different time span.

The Pay is too compact; difference between the pay scale of seniors and the juniors, is significantly very low.

The basic structure of the military pay cannot adequately reward performance, requiring a thorough assessment.

Recommendations for Future Improvements

Establishing a measure of performance for the provision of adequate compensation.

Updating policies and procedures to replicate current legal and DoD (Department of Defense) administrative requirements regarding duty pays and allowances.

Standardize the pay according to the personnel.

Pay raise should be wisely determined on the merit or seniority basis.

Army Guard commands and unit commanders should carry out a thorough monthly pay and personnel data reconciliation and take necessary actions to make corrections in any mismatches found in the record ...