Companies that have ridden the wind and waves in 2020 have basically kept the clouds clear and the moon is bright in 2021, ushering in the continuous recovery of the market economy. According to the survey results, the negative impact of the epidemic on corporate operations has weakened, and most enterprises have basically resumed normal operations. Eighty percent of enterprises expect their performance to increase in 2021 compared with last year, with an increase of between 10% and 20%. Another quarter of enterprises are expected to increase in performance in 2021 by more than 20%. For most companies, "salary adjustment" is a technical job. If you are not careful, it will cause employee conflicts and even cause serious consequences of talent loss. So, how can we "adjust" to convince people?
More than 70% of enterprises have salary adjustment plans
21, 71% of enterprises conducted salary adjustments, which increased by 14% compared with 2020 (57%). Although it has not yet reached 80% in 2019, it can be seen that as the company's operations recover, the company's salary adjustment budget is gradually returning to normal and improving. At the same time, with the arrival of the Jinmao and Silver Fourth recruitment season, the demand for talent recruitment in enterprises has increased and the flow of talents has accelerated. Enterprises will also make salary adjustments based on the considerations of talent attraction, incentives and retention.
Judging from the specific salary adjustment budget, in 2021, 23% of enterprises' salary adjustment budgets rose compared with last year, 31% of enterprises' salary adjustment budgets remain the same as last year, and 17% of enterprises' budgets fell.
The salary adjustment rate of the Internet and high-tech enterprises ranks first in all industries
Differentiated industries, compared with 2020, the salary adjustment rate of most industries has increased in 2021, especially the high-tech and Internet industries. The salary adjustment rate in 2021 was 7.6%, ranking first in all industries, followed by the pharmaceutical and health industry, with the salary adjustment rate in 2021 being 7.4%. The average salary adjustment rate of the real estate industry in 2021 was 5.8%, a slight decrease from 6.0% in 2020. This is related to the fact that under the background of policy control and industry transformation and transformation, real estate companies are still under great cost pressure in 2021.
Topic Extension: What should HR do when faced with employee dissatisfaction caused by salary adjustment?
Every time the salary adjustment period of enterprises, everyone will think about how much it will increase this year. Although the salary adjustment methods for different companies vary greatly, the outcome is roughly the same: the company takes great pains to increase costs and raise wages for everyone, but the returns are complaints, those who rise more are dissatisfied because of higher expectations; those who rise less are dissatisfied, and those who think they have worked hard but cannot be recognized.
is being adjusted for salary, why are there many such situations that are not pleasing to spend money? Why are you still not satisfied with your salary increase? Let's analyze.
First of all, the plan is unscientific, mainly reflected in two aspects:
1. The overall salary adjustment is lacking. Generally speaking, the process of issuing the plan is often as follows: "In order to satisfy the boss, our Human Resources Department has prepared four plans with different adjustment ranges, including 15%, 20%, 25%, and 30%, so that the boss can feel which one is more reasonable. No matter which plan is finalized, we are all prepared."
From this case, it can be seen that when adjusting the salary, the determination of the overall salary adjustment range often lacks scientific and sufficient basis. The salary adjustment lost its benchmark value from the beginning, and no matter how finely designed the subsequent plan is, it will be doomed to have a failed ending. Because employees lack accurate positioning and reasonable expectations of salary adjustment range, it is difficult to fill employees' expectations no matter how much they increase.
2. The basis for personal salary adjustment is not recognized. Some companies adopt a general adjustment method. This big pot meal method does not consider the differences in the contribution of employees of different positions and performance to the overall performance of the organization. Employees with great contributions will inevitably be dissatisfied; some people undergo differentiated salary adjustments according to their seniority, rank, performance, etc., but it is difficult to both encourage the advanced and be accepted by most people. In the final analysis, it is a lack of convincing, fair and scientific basis for determining the level of salary adjustment, and lack of communication.
Usually, enterprises pass annual salary adjustments, mainly the following factors:
Performance management factors . Whether an employee's performance is good or poor, and his contribution to the company is large or small, is directly related to his personal income.Only by linking employees' performance with salary adjustment can we fully motivate employees' work enthusiasm, effectively mobilize employees' morale, and provide the necessary impetus for the further development of the organization;
Market change factors . With the deepening of market competition, the market competition for talents is becoming increasingly fierce. Only when the company's salary structure is sufficiently competitive in the market can it retain existing talents and be attractive enough to attract outside talents to join.
Price index factor . When inflation occurs, the purchasing power of the original salary level is reduced. If no adjustment is made, it is actually equivalent to reducing the employee's income level. If the salary is not adjusted in time, employees will find other people in the long run.
Enterprise profit performance factor . When the company performs well in profits, by appropriate salary adjustments, the company's operating results will be shared with everyone so that employees can maintain high morale. When a company makes poor profits, the annual salary adjustment will be affected, and the current situation of the company's poor profits will be conveyed to every employee through annual salary adjustments. This will inspire employees' fighting spirit, work together, and work together, so that the company can have a turning point.
A clear and correct salary adjustment policy will help companies retain key positions and performing excellent talents, while a vague salary adjustment policy will only trigger the effect of "bad money drives out good goods", causing dissatisfaction among key positions and performing excellent talents, and leading to their loss, ultimately weakening the competitiveness of the company.
When conducting enterprise compensation design and positioning, enterprises usually formulate appropriate compensation positioning strategies based on their position in the market. The usual salary positioning strategies are as follows:
(1) market leadership strategy; (2) market correspondence strategy; (3) market follow-up strategy.
Therefore, the strategy during annual salary adjustment should be consistent with the existing salary strategy positioning of the company to ensure the effectiveness and unity of the salary strategy.
When formulating salary adjustment policies, you should consider how to use limited resources to achieve the best salary adjustment effect to achieve the best salary adjustment effect in order to enhance the company's competitive advantage. Therefore, combining the business characteristics of the company and formulating diversified salary adjustment policies for different levels, different professions and different functions is a question that human resources professionals must think about. When formulating salary adjustment policies, special policy preferences should be given to talents who are relatively scarce in the market. For the salary adjustment of general talents, it is enough to be based on the general market level. When implementing a diversified salary adjustment strategy, different salary adjustment categories can be set to indicate which type of personnel belongs to which category of salary adjustment. The category settings can be considered as follows:
A: Market factors Salary adjustment
The main factor for salary adjustments for such salary adjustment personnel is market competition pressure, which is mainly applicable to key positions with current salary levels lower than the market value, such as R&D technical talents or senior management talents; its purpose is mainly to maintain the competitiveness of such positions in the salary market.
B category: Performance factors Salary adjustment
is mainly suitable for employees oriented towards work performance, such as sales personnel or front-line staff for customers. By linking salary adjustment to employee work performance, its purpose is mainly to reward advanced and encourage backwards.
C category: promotion and salary adjustment
is mainly suitable for promoting its position or assigning more important responsibilities, and is linked to the positions and management responsibilities of employees.
D category: Ability to adjust salary
is mainly suitable for the improvement of skills recognized by the company, such as the latest skills that can be improved after training. The purpose is to better motivate employees to improve their professional level and skills.
E category: salary adjustment for seniority
is mainly suitable for logistics support personnel, with a small amount, mainly to encourage employees to serve the enterprise for a long time.
In the specific annual salary adjustment, it is mainly divided into the following steps:
Step 1 , collecting relevant information about salary adjustment.
When adjusting salary, companies are usually most concerned about the salary of competitors in the market. Companies of a certain size will purchase the latest salary survey reports and compare and analyze the current salary levels of the company's current positions and professional titles with the market values.For smaller companies, you can pay attention to collecting information about salary in newspapers, magazines, the Internet, etc. as a reference for salary adjustment.
On the other hand, relevant information also includes:
local price inflation index;
local GDP growth;
local regulatory requirements;
local labor market trends, etc.
Step 2 , the proposed remuneration recommendation report
salary adjustment recommendation report should include the following contents:
salary adjustment strategy for the current year; the overall salary adjustment ratio and amount of
, with reasons and analysis reports; changes before and after
salary adjustment; the cost of
salary adjustment; the previous salary adjustment record; the specific implementation plan for
salary adjustment; the time schedule of various activities of
salary adjustment.
Step 3 , salary adjustment communication
Many companies often lack the necessary salary adjustment communication. Every year, when the salary adjustment ratio is determined by the company's head, it will be directly issued to the managers of each department, and the managers of each department fill in the corresponding salary adjustment data. In this way, due to insufficient communication during this process, everyone is incomprehensible about salary adjustments and unnecessary resistance.
salary adjustment communication will vary according to the corporate culture. Some companies will announce the salary adjustment concept for this year to all employees, while most companies only communicate it to the manager level of each department. Effective salary adjustment communication can enhance everyone's understanding and recognition of the company's salary policy, thus having a positive effect.
Generally speaking, human resources professionals should, with the support of senior management, effectively communicate the following salary adjustment information to managers of each department:
's salary concepts and policies of the company;
's salary adjustment policy for this year;
's main factors affecting this salary adjustment;
's salary adjustment process;
's matters to pay attention to in the operation of
;
provides necessary guidance and training for department managers to communicate with employees and discuss salary adjustments.
Step 4 , the Human Resources Department produces a salary adjustment proposal form and distributes it to each department
. The salary adjustment proposal form produced by the Human Resources Department should contain the following information:
basic salary information of employees:
name;
service company years;
current position name;
when will
be transferred (promoted) to the current position;
current salary situation;
last salary adjustment time;
last salary adjustment range and amount;
last year's performance appraisal rating;
last year's performance appraisal rating;
this year's performance appraisal rating.
Employee salary adjustment status
This salary adjustment category;
This salary adjustment position transfer status;
This salary adjustment range (proportion);
This salary adjustment amount;
This salary adjustment effective date;
This salary adjustment information summarized by the department
This salary adjustment information (area, total amount, proportion) divided by the salary adjustment information (area, total amount, proportion) divided by the level (employment, supervisor, manager);
Salary adjustment information (area, total amount, proportion) divided by each function (technical research and development, marketing and sales, logistics support, production and operation).
Step 5 , coordinate the salary adjustment recommendation table returned by various departments
Usually, the main problems in the salary adjustment recommendation table returned by various departments are as follows:
exceeds the amplitude and proportion specified in the company's budget;
salary adjustment recommendation fails to reflect the importance of the position held by employees;
salary adjustment recommendation fails to reflect the work performance of employees;
job age replaces performance;
failed to provide salary adjustments in accordance with market expectations for positions that are difficult to recruit;
egalitarianism failed to reasonably widen the gap;
For the above issues, in addition to giving necessary instructions to managers of each department during the third step of salary adjustment communication, human resources professionals should also conduct necessary coordination when reviewing the salary adjustment schedule returned by each department to ensure the fairness, rationality and incentive effect of salary adjustments.
Step 6 , summarize all salary adjustment information and report it to the company's head for final approval.
Step 7 , update personal personnel file information after salary adjustment, prepare a notice of personal salary changes, and inform its department supervisors and individuals.
Since annual salary adjustments are always "a few companies are happy and a few companies are sad", as a department supervisor, when distributing the notification information about salary change to individual employees, they should communicate with employees as necessary individuals to fully explain the company's salary policies and concepts, so that every employee can clearly know what kind of behavior and performance the company will encourage, what kind of positions and talents it will pay attention to, and guide employees to look at the annual salary adjustment positively.
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