First Federal Bank has been committed to the communities it serves since its founding in Harrison, Arkansas in 1934. The bank now serves 12 cities in north central and northwest Arkansas with 20 full service locations, one stand-alone loan production office and 31 ATMs.
In 2003, First Federal Bank had limited formal job descriptions, operated in multiple pay markets and was looking for an objective compensation framework that would value jobs across the organization and seamlessly integrate multiple market compensation values.
The Johanson Group, using the DBCompensation system, developed 134 electronic job descriptions and simplified the pay structure for the entire bank into a single program with one pay line for Northwest Arkansas. The pay line is being used as the basis for the other two more rural markets where the bank operates.
With over 130 different job titles spread across 20 full service locations in 12 cities, First Federal Bank needed an employee compensation framework that would improve their profitability while allowing them to recruit and retain great employees.
The Job Evaluation and Salary Administration Program (DBCompensation) was chosen to put a consistent compensation management system into place and solve a number of other employee-related challenges.
“Not only did DBCompensation provide us with significant short-term and long-term savings, we are now confident that our compensation program is fair, competitive, and legally defensible.”
Larry Brandt, Chairman and CEO
“I credit DBCompensation as a major factor in allowing us to maintain most of our loan staff. We’ve lost relatively few compared to other banks.”
Tom Richardson, President and COO
“The DBCompensation process has helped take the guesswork out of comparing jobs that are similar in nature and has provided a consistent method to rate jobs internally while providing a good tool to ensure that pay rates stay competitive.”
Stacy Flower, Vice President of Human Resources