A Plan for Increasing Base Pay

Part 1

I am providing the assignment information overall for the power point and the shareable, editable Google slides link so that slides 3 and 4 can be completed with detailed speaker notes. please include the citation and there is a slide for references. You will only need to complete the part of the power point marked in bold. That is the what the 2 slides will be based on.


Your team is consulting with a local manufacturing company that has 1,200 employees and is the third largest employer in the area. When averaging all of the manufacturing employees’ salary divided by the market midpoint, the organization has a 0.90 compa ratio, meaning that on average employees earn 90% of the market rate.

Your firm has been asked to propose three approaches for management to consider:

  • increasing base pay
  • adding a team incentive plan such as profit sharing or individual incentive plan based on individual performance
  • a combination of base and incentive pay

Using the current sales and profit trend, the company has the ability to increase compensation spending by 4% annually for the next three years.

Create a 10- to 15 ‘Voice-Over Narration’ Microsoft® PowerPoint® presentation in which you use at least one cited source, consistent with APA guidelines, to address the situation and:

  • propose a plan for each of the three approaches ( propose a plan only for increasing base pay)
  • make a final recommendation

Part 2 Discussion questions must be a minimum of 200 words each and include a reference. Please list each discussion questions separately with it’s reference but they can all be on one word doc.

  • Predict what type of candidate might be most attracted to an organization offering high salary and cash incentives, but expensive benefits. What are the pros and cons of this type of candidate?
  • Respond to this post please, see below:

(Jesse Gilkey)

Every candidate is going to be attracted to an organization that offers a high salary, cash incentives and expensive benefits. I certainly am attracted to all of the above, but I’m sure I’m wouldn’t be qualified for many of them. I would suppose someone who works in the HR department of an organization like this would tell us that the amount of unqualified applicants who apply for these jobs far outweigh the ones who are indeed qualified. Some of the pros, after hiring a qualified applicant, are that the employee would be competent, they would less likely complain, and the work that’s needed would more than likely be done in a timely fashion and be quality material. On the other hand, if the employee knows s/he isn’t deserving of this compensation they may feel guilty. At this moment either the work wouldn’t be that great or the employer would be looking for a replacement soon. Some other cons are that having all of these benefits is a very expensive endeavor. A small startup would be foolish to have all of these incentives without the proper capital, because it would go bankrupt pretty fast. Another con is what I stated previously. Applicants would be pouring in by the boatload, putting a lot of stress on the HR department.

  • ( Responding to professor)Take a look at organizational attractiveness at Google, and tell me what you think. Does your organization offer similar benefits? When you accept a job, do benefits play a big role? Do benefits play a bigger role than salary for you?


1.(Discussion 2) Should compensation adjustments be based on market movement, meritorious performance, or a combination of both?

  • (Responding to professor) Let’s talk about the salary you offer new employees? As an HR Director, I had a pre-determined salary range that I could offer new employees (i.e., $60,000 – $80,000). When I offer a new employee a job, I start at the bottom and give them an opportunity to negotiate. I found that most women immediately accepted my first offer of $60,000, while most men would negotiate a higher salary. This can create a pay gap.

Question: Should HR offer everyone the same beginning salary, or let the best negotiator win? Did you negotiate your salary when you started your current job?

  1. Respond to this post please, see below:

(Andrew Dallas)

Employer’s should take both merit and market factors into account when deciding how to allocate compensation. There are many companies that get by without taking merit factor’s into account, and although they may be able to stay in business, they are affected by this and will not be as competitive as companies who do base some of their compensation on merit. Giving an incentive for employees to work, always creates a more productive environment, it can however be complicated and difficult to deal with. Employees must be monitored and the incentives correctly distributed to motivated and productive employees, this takes a lot of managing and is the main reason why many companies do not bother with merit-based types of compensation.

All companies must be aware of the market and how their pay compares in relation to the other businesses around them. Ignoring the market and basing all your compensation on internal factors will either result in over-compensation (in the case of overpaying) or high turnover (in the case of underpaying). Either way not comparing yourself to the market around you and considering your industry and the proper pay for the skills needed will be detrimental to the company.

yourself to the market around you and considering your industry and the proper pay for the skills needed will be detrimental to the company.

Review this week’s course materials and learning activities, and reflect on your learning so far this week.

Respond to the following prompts in one to two paragraphs:

Provide citation and reference to the material(s) you discuss.

Describe what you found interesting regarding this topic, and why.

Describe how you will apply that learning in your daily life, including your work life.