Asked by Lindsey Bentley on Sep 23, 2024
Verified
To conduct a compensation survey, a job evaluator must:
A) hire a consulting firm to do the actual survey
B) define the relevant labor market
C) create a totally objective survey
D) ignore geographic boundaries in order to accurately benchmark all jobs
E) do all of the above
Compensation Survey
A research tool used to determine market rates for positions and benefits, aiding in the development of competitive compensation packages.
Job Evaluator
A specialist who assesses the responsibilities, duties, and qualifications of a job to determine its position within an organization's pay structure.
Relevant Labor Market
The geographical area and job sector from which an employer can reasonably recruit employees or the area from which an employer actually recruits.
- Understand the role and impact of compensation surveys in setting pay levels.
Verified Answer
DM
David Moore2 days ago
Final Answer :
B
Explanation :
Defining the relevant labor market is essential in order to ensure that the compensation survey reflects the appropriate salary and benefit levels for the jobs being analyzed. While all of the choices may be helpful in conducting a compensation survey, only B is necessary. A consulting firm may be useful in providing expertise and guidance, but it is not required. Creating an objective survey is important, but it may be difficult to achieve total objectivity. Ignoring geographic boundaries is not recommended since different regions may have different market rates for the same job.
Learning Objectives
- Understand the role and impact of compensation surveys in setting pay levels.