Compensation Trends in 2009 and Projections for 2010

Decisions regarding compensation in this day and age are intricate. The website PayScale for Employers offers a little help in understanding trends and compensation decisions today. The website offers a helpful blog called Compensation Today. One of their useful articles discusses compensation decisions observed in 2009 and what’s predicted for 2010.

PayScale’s director of customer service and eduction, Stacy Carroll, discloses some information you might find useful for compensation planning. Carroll identifies 3 important points from 2009:

1. A real focus on cost containment and, therefore, energy around establishing some structures and some formality for compensation-related decisions.

2. Recruitment kind of fell off the map. People stayed where they were at and there was not as much moving around.

3. The impact of little or no increase for employees and some of the issues that may create in 2010.

Carroll believes that more and more employees will go back into that mode of looking for opportunities and pay may be an important consideration for them. In 2010, HR professionals should be thinking about and making efforts to find ways and opportunities to keep and retrain their top performers.

Continued efforts toward controlling costs in compensation are also important, but more importantly, doing it in a way that makes sure you’re able to retain and engage your top talent.

It’s crucial to pay attention to how the market is moving for various industries or positions, plus knowing what the market is and what skill sets are in top-demand. To read more, click here.

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