For the past 90 years or so job evaluation as a compensation

For the past 90 years or so, job evaluation as a compensation tool has been designed to assess the value of each job rather than to evaluate the person doing the job, prompting a relatively flat pay schedule for all incumbents in a particular position. Some HR experts believe that the emerging trend is for pay inequality to become “normal.” Employers are using variable pay to lavish financial resources on their most prized employees, creating a kind of corporate star system. “How do you communicate to a workforce that isn’t created equally? How do you treat a workforce in which everyone has a different deal?” asks Jay Schuster of Los Angeles– based compensation consultants Schuster- Zingheim & Associates, Inc. If you were asked these questions, how would you answer them? Given the issues just discussed in this case, what effect do you think this trend toward greater pay inequality will have on employees’ satisfaction with their pay, their job, and life in general? Explain.

Solution

salary is the one of the concern to employees\' satisfaction. if they paid higher salaries they feel happy and if they paid less amounts, they will feel dissatisfaction. it shows its impact on employee performance at the work place. for the past century the same process is following in pay system. employees are paying based on their job analysis rather than their performance at work.

this system may looks in a different way to others, but to be frank the pay structure has decided based on the complications and the level of expertise to complete a task. i mean, if the work is more important and to perform the task more skills and expertise requires, difinitely he has to pay higher amounts than others and vice viersa.

yes, it leads to inequality in payments and majority of the employees may feel dissatisfaction. to minimize the gap, the people who gets lesser amounts they need to improve and update their skill set and show miracles at work place. that is the only solution to this problem. i will motivate the employees towards this, and i make them what reality is and how can we achieve it.