Staff
Compensation Philosophy and Market Competitiveness
Mount Holyoke College employees, at all institutional levels, must
be skilled and experienced performers, if the College is to realize
high performance goals in support of its mission of educating women
for the leadership roles of tomorrow. In order to attract and retain
a diverse, talented and effective staff, the compensation philosophy
is to pay competitively with the external labor market, considering
both wages and fringe benefits in order to determine "total
compensation." The external labor market surveyed to determine
competitive compensation levels varies according to where, and with
whom, we compete for qualified employees for particular jobs. In
some cases, the local labor market is considered and for other positions,
regional or even national markets are used.
An internal evaluative process is used in conjuction with the compensation
information derived from external sources. This ensures job content
accuracy when we compare our positions with those at other institutions
and organizations, as well as providing an internally equitable
structure. It also allows a method to evaluate positions that are
unique to our institution or not commonly found in market survey
studies.
Salary levels are set using many different factors including the
applicant or employee's years of experience, unique skills and abilities,
performance, economic conditions and College budgetary considerations.
Market Competitiveness
How will the salary program be maintained?
In accordance with the compensation philosophy, the salary program
will be reviewed regularly to assure that it remains competitive
with the appropriate labor market. For example, most non-exempt
(hourly) jobs will be compared to the appropriate local job market.
Other jobs may be compared to a group of peer colleges, colleges
of similar size or complexity, or organizations with similar functions
(e.g., accounting).
The Overall Structure:
Human Resources will review the salary structure annually to
determine how inflation has impacted salaries and whether other
organizations are raising their ranges. In addition, input from
Department Heads/Chairs or Supervisors concerning the competitive
environment in their own profession is encouraged.
Information about other organizations will be gathered through
salary surveys.
Decisions to revise the salary structure will be based upon external
market conditions and the College's operating conditions.
Market Competitiveness and Internal Job Evaluation
Market Competitiveness
Individual Jobs:
Human Resources will review selected "benchmark" jobs
annually. In addition, as part of the audit process, review of other
positions will be done at the request of the Division/Department
Heads.
"Benchmark" jobs are those that represent many employees
or for which survey data is readily available. These jobs form the
anchor of the salary structure.
"Benchmark" jobs will be compared through compensation
surveys with labor market competitors.
Internal Job Evaluation
How are "non-benchmark" jobs evaluated?
To supplement the benchmarking information, the College gathers
job responsibility information through a Job Analysis Form.
Jobs are then evaluated through a systematic method of comparing
certain criteria, called compensable factors, from one job to another.
These criteria, in alphabetical order, are:
Job evaluation does not focus on how well an individual performs
a job, but rather factors such as, but not limited to, the skill
and responsibility of the job itself.
The responsibilities for jobs without market pay information (called
"non-benchmark" jobs) are compared to "benchmark"
jobs. This comparison results in "non-benchmark" jobs
being placed into the appropriate salary grade.
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