6 Tips For Choosing a Salary Survey

large_6757842133Setting salary structures can be a daunting task.  However, it’s a task that requires careful consideration since salaries are a company’s biggest expense.  When compensation professionals begin the task of setting new structures, or adjusting existing structures, they often turn to technology by way of surveys.  That’s why in this blog; I want to share with you HR Magazine’s Six Timely Salary Survey Tips:

  1. Look for surveys that provide meaningful data that you need, such as industry-specific data or data based on company revenue or operating budget.
  2. Don’t rely too much on a single data source, as that can provide a false measure of the market.
  3. Blend as many data sources as appropriate – at least three if possible – to come up with a market consensus number for a particular job.
  4. Remember that compensation surveys are meant to be reference points or guidelines, not absolute statements of what compensation should be.  Ultimately, HR professionals have to make business decisions on how to interpret the data.
  5. Look at how many companies are submitting matches for a particular job in a survey.  The larger the sample size and the more companies that are reporting for each job, the better sense you will have of what the market is doing.
  6. Adjust compensation decisions based on geography and company size.  Surveys often provide data cuts based on organization size, revenue or operating budgets as well as a regression formula to calculate the relationship among size, geography and compensation levels.

Now that you know what to look for in a survey to determine salary structures for your company, you can confidently start recruiting for that new position.  Serenity Staffing would love to help you find the perfect candidate for your company.  Contact us so we can connect you with your next employee.  Follow us on Facebook and LinkedIn so you can share our blog with the HR professional you know that can benefit from the valuable information we share!