Question Must post first. Objective: List and describe the basic factors in determining direct financial compensation. Direct financial compensation is one way that companies can encourage employees to perform desired tasks in a desired way. Many companies struggle with how to determine the correct financial compensation for their employees. At its most basic level, compensation needs to be equitable to comparable salaries in the market, and comparative between similar positions within the organization. Read Motivate your people be implementing compensation strategy. Starting with the basic premise of market and organizational equity, what HR factors would you take into consideration when designing a pay structure? Identify 2-3 key strategic objectives you would want to accomplish with the pay structure.
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