California Compensation Trends and Pay Practices

880 views

Published on

As you consider employee raises and prepare your compensation strategy, it's imperative to have reliable, California-specific data to inform your decisions when building a solid compensation foundation.

Published in: Technology, Business
0 Comments
0 Likes
Statistics
Notes
  • Be the first to comment

  • Be the first to like this

No Downloads
Views
Total views
880
On SlideShare
0
From Embeds
0
Number of Embeds
177
Actions
Shares
0
Downloads
14
Comments
0
Likes
0
Embeds 0
No embeds

No notes for slide

California Compensation Trends and Pay Practices

  1. 1. California  Compensa.on   Trends  &  Pay  Prac.ces   Jus.ne  Ward   Manager,  West  Coast   PayScale,  Inc.     Karaka  Leslie   Partnership  Manager     PayScale,  Inc.     www.payscale.com    
  2. 2. 14,000  Posi.ons   2500  Customers   40  Million  Salary   Profiles   250  Compensable   Factors   11  Countries  
  3. 3. Agenda   o 5  Compensa.on  Best  Prac.ces  &  Trends   o Immediate  Ac.on   o Special!  Trends  Data  For  You   o Q  &  A  
  4. 4. •  Surveyed  over  4,000  respondents     •  Themes:   –  –  –  –  –  Financial  Performance   Wage  Growth   Hiring  Prac?ces   Reten?on  Concerns   Managing  Increases     •  Company  size  breakdown:   –  Small:  <  100  employees  -­‐  45%   –  Medium:  100  -­‐  1,000  employees  -­‐  34%   –  Large:  >1,000  employees  –  21%  
  5. 5. General  Market  Trends  
  6. 6. Five   1)  Understand  Your  Labor  Market   Compensa.on     2)  Understand  Your  Jobs   Best  Prac.ces   3)  Create  a  Compe..ve  Strategy   4)  Build  a  Structure   5)  Pay  for  Performance    
  7. 7. Understand  Your  Labor   Market  
  8. 8. Understand  Your  Labor  Market   • Who  do  you  compete  with?   • Size,  Loca?on,  Revenue,  Industry   • Who  can  you  compete  with?    
  9. 9. Understand  Your  Labor  Market  
  10. 10. Understand  Your  Jobs  
  11. 11. Understanding  Your  Jobs   • Work  Gets  More  Specialized   • Hot  Skills  in  California   • Not  All  Jobs  Are  Created  Equal   • Hot  Jobs  in  California   • Tough  to  Fill  Posi?ons    
  12. 12. Hot  Skills  in  California   Tech   Hadoop   Oracle  eBusiness  Suite   iPhone  SDK   Cloud  Compu?ng   Ruby   Kernel  Development   Interac?on  Design   Healthcare   Intensive  Care  Unit  (ICU)   Community  Health   Neonatal  Intensive  Care  Unit   (NICU)   Pediatric  Intensive  Care  Unit   (PICU)   Recovery/Post-­‐Anesthesia   Care  Unit  (PACU)   Computed  Tomography  (CT)   Clinical  Educa?on   Other   Intellectual  Property   Mergers  and  Acquisi?ons   Financial  Advisor   Strategic  Partners   Lean  Process  Engineering  
  13. 13. Hot  Jobs  in  California   Tech   Network  Administrator,  IT   Senior  Mechanical  Engineer   Sobware  Developer   Research  Scien?st   Programmer  Analyst   Sobware  Development   Engineer,  Test  (SDET)   Senior  Sobware  Engineer   Project  Manager,  Sobware   Web  Developer     Healthcare   Physician  Assistant  (PA)   Biller,  Medical  Office   Finance/HR   Business  Analyst   Staff  Accountant   HR  Assistant   Aforney/Lawyer       Sales/Marke.ng/Opera.ons   Regional  Sales  Manager   Senior  Mechanical  Engineer   Marke?ng  Coordinator   Project  Coordinator   Business  Development  Manager    
  14. 14. “The  market”  changes  for  each  job   So^ware  Developer  Pay  Across  Time   $100,000   $95,000   $90,000   $85,000   $80,000   $75,000   $70,000   $65,000   2011  Q1   2011  Q2   2011  Q3   2011  Q4   San  Diego   2012  Q1   Los  Angeles   2012  Q2   San  Francisco   2012  Q3   2012  Q4   2013  Q1  
  15. 15. COLA  doesn’t  work  in  California   Accountant  Pay  Across  Time   $63,000   $61,000   $59,000   $57,000   $55,000   $53,000   $51,000   $49,000   $47,000   $45,000   2011  Q1   2011  Q2   2011  Q3   2011  Q4   San  Diego   2012  Q1   Los  Angeles   2012  Q2   San  Francisco   2012  Q3   2012  Q4   2013  Q1  
  16. 16. Understanding  Jobs  In  Markets  
  17. 17. Tough  to  Fill  Posi.ons  
  18. 18. Create  a  Compe..ve   Strategy  
  19. 19. Compe..ve  Strategy   •  Who  is  your  market?   • How  compe??ve  do  you  want  to  be?   • What  do  you  want  to  reward?      
  20. 20. Compe..ve  Strategy   Not  all  individuals,  process,   func?ons  and  business  units  have   the  same  impact  on  results     We  need  to  priori?ze  jobs,  key   employees  and  business  units  and   then  allocate  the  greatest  por.on   of  its  resources  to  those  high   priority  areas.    
  21. 21. Compe..ve  Strategy   •  Talk  with  senior  leadership   •  Vary  strategy  by  department   •  Base  your  decisions  on  key  roles      
  22. 22. Build  a  Structure  
  23. 23. Build  a  Structure   • Ranges/Grades   • Internal/External  Equity      
  24. 24. Build  a  Structure   • Let  the  structure  guide  your  business  forward   • Keep  it  current   • Decide  what’s  important  for  you    
  25. 25. Pay  for  Performance  
  26. 26. Performance Top  people  concerns  among  senior  business   execu.ves  are:   o Crea?ng  a  high-­‐performance  culture     o Leadership  development   o Talent  Management   o Training  
  27. 27. Market   Trend:   Ongoing   Shib  Toward   P4P   When  cra^ing  next  years  budget  vs.  this  year  the  use  of     Across  the  board  increases  down  by  50%   Use  of  Variable  Pay  has  increased  300%   Source:    Hewia  Survey  –  U.S.  Salary  Increases  2009/2010  and  Impact  on  Org  Spend  for  2010  
  28. 28. Merit  Matrix      
  29. 29. Immediate  Ac.on  
  30. 30. Immediate  Ac.on   Elementary   •  Know  your  jobs   •  Have  an  understanding  of  the  market   Intermediate   •  Discuss  a  compensa?on  strategy  with  leadership   •  Know  what  you  want  to  reward  and  what  you  value   •  Build  guidelines  that  reflect  a  compensa.on  strategy  that  works  for  your  business   Advanced   •  Find  new  and  crea?ve  ways  to  incorporate  performance  pay   •  Know  how  your  pay  prac?ces  stack  up  against  your  exact  compe??on  for  talent   •  Communicate  you  pay  strategy  with  management     •  Develop  a  strong  compensa.on  structure      
  31. 31. PHR  &  SPHR  worth  more!  
  32. 32. Sneak  Peek!    
  33. 33. •  Customized  Salary  Report  for  your  HR  posi.on   •  Compe..ve  analysis  report  of  a  key  posi.on  at  your  company   •  Compensa.on  Trends  Index  Report   •  Compensa.on  Best  Prac.ces  Report  
  34. 34. PayScale  Delivers  Where  Other  Compensa.on  Providers  Fall  Short   PayScale  leads  the  world  in  compensa?on  knowledge  with  the  freshest  and   most  detailed  data  from  over  36  million  salary  profiles.  More  than  2500   organiza?ons  use  PayScale’s  sobware  and  intelligence  to  get  the  greatest   return  on  their  talent.  Smart  businesses  use  PayScale  Insight  to  recruit,  retain   and  mo?vate  their  people.     Visit  our  blog:    www.payscale.com/compensa?on-­‐today   Join  our  Group  on  LinkedIN:    Compensa?on  Today:    HR  Best  Prac?ces   Jus.ne  Ward   Manager,  West  Coast   PayScale,  Inc.     Karaka  Leslie   Partnership  Manager     PayScale,  Inc.     www.payscale.com    

×