HR Pulse - Fall 2007 - (Page 32)

32 HR Pulse Fall 2007 • Clarify different levels of employee compensation based on worker status, such as contingent workers, flat-rate positions, or jobs paid by volume. • Publish all differentials and add-ons • Shift differentials for each job. • Weekend differentials. • Certification, skill-based or charge differentials. • Call pay. • Anything else… Make the “Rules” Clear and Open • Explain how new hires are placed into a pay range • Can experience cause a salary offer to a new hire to increase? • Can a manager match or exceed an existing payable salary in order to fill a crucial position? • If matching an outside salary results in more pay to a new hire than now provided to equivalently-experienced existing staff, what (if anything) happens? • Explain how individuals progress through the salary range system • Exactly how does merit pay work? • How frequent are evaluations? • How frequent are increases associated with those evaluations? • What range of options do managers have for salary increases? • Do you do forced performance ranking or require managers to comply to an average increase budget? • How often is the pay range system reviewed for ongoing market competitiveness? • If a range is increased (for market or other reasons), do all employees receive a raise? If not, what happens? • Does the attainment of practice certification, such as Certified Operating Room Nurse, change base pay? If so, how? • Are other forms of skill-based pay used here? • If an employee resigns due to more pay at a competitor, are managers empowered to make a matching offer to retain the employee? And, of course, if that occurs and it changes internal pay relationships, will the salaries of other workers be adjusted, too? • Are incentives ever used? If so, are the incentives for • Improved patient care quality outcomes? • Improved financial performance? • Improved safety? • Teams? • Or individuals? • Explain the “rules,” if any, for • Pay increases, if any, due to promotions? • Pay adjustments or “grandfathering” for reductions in pay classification? • Pay adjustments, if any, for lateral transfers? • Pay increases for employees at or above pay range maximum? • Does your hospital “red circle” and, if so, under what sorts of circumstances? • Who can share salary information? • Managers? • Human Resources staff only? What are the “don’ts” of Salary Transparency? • Transparency does not require that you reveal or verify the actual salary paid to any other employee. Your communications to all concerned should make this very, very clear, to forestall any misplaced expectation by employees. • Never lie to an employee. If an employee asks a question you do not feel comfortable answering, do not answer it. Just scanning this list might have given the reader some pause…again, imagine your own workplace and its culture. If these things were done there, what would occur? Bear in mind, though, that there are hospitals that, right now, exhibit transparency in every one of the items indicated above. They have derived the benefits of trust, enhanced staffing brand identity and improved business literacy as a result. So, even if you cannot see your organization moving toward these goals immediately, consider the long-run strategic implications. “Take-Aways” 1. Transparency in compensation practice can create increased trust in leadership in a health care organization. 2. This can raise general employee satisfaction by improving satisfaction with compensation itself. 3. It can also improve your organization’s employer brand identity and make more staff become recruiters and ambassadors for your hospital. 4. You can expect improved business literacy among health care workers by operating a more transparent process. If an employee resigns due to more pay at a competitor, are managers empowered to make a matching offer to retain the employee? And, of course, if that occurs and it changes internal pay relationships, will the salaries of other workers be adjusted, too?

Table of Contents Feed for the Digital Edition of HR Pulse - Fall 2007

Contents Executive Director’s Letter President’s Message HR Leader Profile: Lisa McDaniel Spotlight on Community Citizenship Culture of Engagement How Transparent Should Healthcare Compensation Be? The Value of Assessment Testing in the Recruitment Process Technology Dramatically Changes FMLA Compliance Creating a Magnetic Culture™ Taking It to the Hill: An Advocacy Update 401(k) / 403(b) Fee Lawsuits – Are You the Next Target? Compensation Offers – A Better Process Find It Again Pulse Points Who, Why and Where Conference Highlights Schedule at a Glance Keynote Speakers Social Events Conference Sponsors Exhibitors Index to Advertisers

HR Pulse - Fall 2007

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