Recently, we had a discussion with a potential client via a GoToMeeting online session. We were visiting with three members of the human resources team about internal job valuing and job matching with a national external salary aggregator’s software system and market pay comparisons database. One of the human resources team members mentioned how internal job matching had become a burden with the national external salary aggregator’s market pay comparisons database system. For this human resources profession, it had become unmanageable to match unique jobs with the external market pay comparisons database system. Even though the external national market pay comparisons database had thousands of job title benchmarks, the human resources manager was spending too much time on matching her company jobs with the national database jobs.
It is our recommendation that human resources and compensation professionals utilize an objective and defensible internal job valuing, matching, slotting or ranking process/system prior to the use of a national external salary aggregator’s software system and market pay comparisons database. The internal job review and placement process/system provides the basis for job equity and pay structure placement analysis that can be validated with external market pay comparisons. We believe that the combination of an internal job analysis and an external job matching process/system offers two forms of review analysis and promotes a more accurate and fair job assessment and position pay placement for organizations that offer transparent, equitable and competitive compensation pay plans.