The human resource department has perhaps the toughest job in the entire company. They determine the rates of the very thing people work for, compensation. These HR personnel are the ones that practically determine fates. Needless to say, the mode of creating salary, compensation and benefit ranges is completely regulated by the HR personnel and a prescribed framework is followed. Human resources salary ranges are determined by several factors. These factors are universally accepted but also are unique to each company.
One key factor that determines compensation is the formal education level of the employee. It has been universally seen that formal education levels allow for a distinct level of compensation discrimination. Professional degrees like B.Tech and M.B.A. degrees hold higher value than Bachelor of Arts degrees. Also, Master degrees hold higher value than Bachelor degrees. This very basis for compensation discrimination has caused a greater demand for professional courses and higher degrees.
Another factor that highly influences human resources salary ranges is experience. It goes without saying that a more experienced employee will provide better and more reliable work. A veteran in the industry will also know tricks of the trade and have numerous contacts in the industry that otherwise a novice would not. The more experience an employee has, the more his salary. However, there has lately been a shift of focus in some companies. Experienced and weathered employees tend not to encourage change. This is where the experience factor back-fires.
The last key factor is ofcourse performance. How good your work is will ultimately determine how well you get paid. It is not enough to simply just finish the work assigned to you. Traits and qualities displayed by you that the firm appreciates are usually rewarded. If your firm appreciates initiative, leadership or just upright integrity, display it and you will be rewarded.
Human resources salary compensation generally includes a cash component and a benefits component. Benefits given out by companies vary greatly. The basic type of compensation provided is insurance coverage. This may either be life insurance or health insurance. Some companies give insurance that covers parents and dependents of the employee.
Other compensation benefits given include perks like, travel expenses and telephone expenses. This is especially for employees who frequently have to travel around for meetings and other activities that their job entails them to. Some companies even offer recreation perks like outings and holidays for the family.