Sample HR Management Essays On Pay Equity

Homework Question on Pay Equity

  1. Find an article that discusses pay equity as it relates to KSAs.
  2. Address the importance of managing pay equity (both internal and external) and the consequences for not doing so.
  3. Also address the role of pay equity and employee job satisfaction and motivation from a strategic perspective.

Homework Answer on Pay Equity

When a company observes transparency in how it conducts its pay practices, and its employees trust that they are treated in the same breath as their peers, their morale is boosted. This improves employee loyalty. Internal pay equity is good as it helps retail top performing employees and increases employer’s chances of hiring the best talent in the industry. Being a responsible employer who is considerate comes with being able to appreciate the significance of pay equity in the organization.

Observing this also avoids possible lawsuits with employees. External equity is important because employees in the same industry interact (Grimsley, n.d). Employees would like to be par or even better than peers in the industry. This is a crucial morale booster and helps retain good employees.Employee equity is achieved when employees are compensated in a way consistent with their unique abilities and unique individualities.

Homework Help

Such characteristics include diversity and scale of knowledge, the level of productivity, skills, and seniority, as compared to other employees. An employer has to stop situations where employees’ feel unsatisfactorily compensated. This happens when employees return negative opinions regarding salaries and promotions (Grimsley, n.d). Problems are expected when audits reveal pay discrepancies among different genders or ethnic groups, when a company does not have a formal system for assessing and setting salaries and forecasting promotional ranges