【正文】 er ? Salary pression — occurs when pay for jobs in external market rise faster than pay inside the anization (affected by shortage of workers) Organizational Demands Labor Force amp。 Compensation ? Labor supply — when market is tight, panies have to pay higher wages to attract and retain employees ? Labor market’s supply and demand have a huge impact on market wages – how a firm decides whether to follow, lead, or lag the market ? Leading the market helps a firm attract more qualified workers ? A firm may lead the market in certain critical jobs ? Pay practices need to match employee pay preferences Environmental Influences Technology amp。 Compensation ? Technology enables easier collection of salary data access or conduct online salary surveys ? Simplify job evaluation and maintain pensation records ? Collect timesheets and interface with payroll systems Environmental Influences Globalization ? Global anizations have to decide whether they want to centralize or decentralize their pensation systems ? Global panies with centralized pensation systems are more satisfied ? Employees see link between results and rewards and more internal and external equity ? Similarities and differences in the acceptability of various forms of pensation are found in various countries ? Laws and norms of countries will affect certain pay practices Environmental Influences Globalization (cont’ d) ? Paying PCNs (parent country nationals) is most plicated ? Use balance sheet approach — making adjustments for hardship, dangerous, or primitive assignments ? . panies have been criticized for paying low wages relative to American wages ? Cost of living and minimum wage laws have to be taken into consideration to do parison Environmental Influences Ethics and Compensation ? “ What gets rewarded is what gets done” ? Sortterm goals that are easily manipulated will tempt employees to engage in uhical behavior ? Living wage — providing a fair wage so that basic living needs can be met ? Employers must pay the mandated minimum wage ? Comparable worth – eliminating inequity in wages by ensuring that jobs that require similar levels of education and experience are paid at a similar wage regardless of gender Environmental Influences Regulations amp。 Compensation ? DavisBacon Act — requires contractors and subcontractors with contracts in excess of $2,000 with the federal government to pay workers wages and benefits equal to local prevailing wages and benefits ? WalshHealey Act — requires contractors with contracts over $10,000 to pay the federal minimum wage for the first 40 hours and times the minimum wage for any additional hours during the week Regulations Regulations amp。 Compensation (cont’ d) ? Fair Labor Standards Act (FLSA) — regulates use of child labor, defines which workers must be paid the minimum wage, and stipulates pay rate for overtime work ? Minimum wage — Federal minimum is $ per hour as of July 2022, but each state has option of setting its own minimum ? Exempt employees — do not receive overtime for hours worked in excess of 40 in a workweek ? FairPay Overtime Initiative (2022) clarified which employees were eligible to be exempt and many jobs were reclassified ? Employees working overtime are entitled to receive pay at the rate of times their regular pay for additional time Regulations Regulations amp。 Compensation (cont’ d) ? Fair Labor Standards Act (FLSA) (cont’d) ? Child labor ? Youth under the age of 16 can work on a restricted basis ? Youth over 16 cannot work in hazardous jobs including driving a motor vehicle, doing wrecking and demolition, or being exposed to radioactive substances Regulations Regulations amp。 Compensation (cont’ d) Record keeping employers must keep certain information on nonexempt employees including: ? Name, address and Social Security Number ? Birth date, gender, occupation ? Hours worked ? Rate of pay and overtime earnings ? Additions and deductions from pay ? Wages, (by pay period, dates, etc.) Regulations Wrap Up ? Equity theory ? Internal alignment (job ranking, job classification, point method, factor parison) ? External petitiveness (salary surveys, job pricing, pay policy, pay grades and ranges, broadbanding) ? Alternative pensation approaches (skillbased, knowledge based pay, petencybased pay, market pricing