Compensation Dilemmas Case Study

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Recommended: Effects of the equal pay act

CASE #2 COMPENSATION DILEMMAS Case no 1. In general, everyone who has a job has to be treated equally and has to get payed equally without any discrimination, based on gender, ethnic background, color or age. This is guaranteed by the Equal Pay act and Lilly Ledbetter Fair Pay Act. Different states have different compensation practices. While in US you can negotiate related to your compensation with the employer, in other states, especially in those underdeveloped countries, the compensation criteria’s are fixed and any employee cannot negotiate related to compensation (especially in public sector). In the concrete case in those circumstances when an organization determined that two different jobs are equal in terms of value to organization but again while the labor market offers those common profiles of occupations versus deficient profiles, in these circumstances, the company can make some differences in order to attract specific qualified persons for the position or …show more content…

Besides this, an employer can use other tools to value the commitment and the engagement of an excellent employee. As a manager, from my experience (because in my country the salaries are fixed and based on the performance I cannot decide for a merit rise) I used different tools, in order to encourage my team. Sometimes, not just the money is a satisfaction, especially for young professional they better prefer do get promoted, to enjoy different experiences (such travelling abroad for the purposes of capacity building) or even to get announced as the best employee of the year. Therefore, besides compensation, there are other forms, that are not just material but are some other honorable tools that a manager could use in order to motivate and encourage the team

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