No grade or band system - People are getting different salaries for same designations

hr-saloni
Hello Everyone, I am working in HR Department of a small scale company where there is no grade or band system and employees are working from so long. People are getting different salaries for same designations in departments. As Purchase Manager is getting 20k pm & Accounts Manager is getting 60 K pm and same with the other designations also. Now my MD wants me to create a salary grid. please guide me this.
KK!HR
Grade & salary fixation is a complex exercise and unless the whole profile of all employees is given, it is not possible to give a solution. With so much of variance in pay, you need to collate the qualification, experience and merit of the candidates in fixing the salary. You also need to have understanding of the pay scales of similar industries in the region.
One suggestion I can make off hand is to create various grades for the same designation (Like Manager Gr.1, Manager Gr. II etc). Even then there will be some odd entities who won't fit anywhere. So you will have to grant them some special pay or personal pay in addition to fixing them in the grades fixed.
Kritarth Consulting
Yes, the Suggetion by KK HR is a Primer, so determine Some Grades (Scales of Pay) compatible with 1. Min Output, Competencies & Skills Sets per Position ( Hierarchy Level); 2. Prevalent Pay Scales for same or similar Work & Level and above all refer to Performance Record of individual hilsing Post in same or sililarDesignations/Level of Responsibility/Accountability. As you proceed /progress with Your Project, keep collecting Ideas, Suggestions. Expert's Help inevitable.
Harsh K Sharan, Kritarth Consulting
28.5.2020,
hr-saloni
Thank You for your suggestions. Pls tell me one more thing can we prepare the grid department wise?
If you are knowledgeable about any fact, resource or experience related to this topic - please add your views. For articles and copyrighted material please only cite the original source link. Each contribution will make this page a resource useful for everyone. Join To Contribute