Salary Bands and Market Data

Salary bands and market data help ensure competitive and fair compensation across your organization.

Salary Bands

• Define pay ranges for roles, levels, and locations
• Include minimum, median, and maximum amounts
• Can be global, country-specific, or region-specific
• Help maintain internal equity and structure

Creating Salary Bands

1. Navigate to Compensation Management > Salary Bands
2. Click "Create Band"
3. Enter band details:
   • Name: Band identifier (e.g., "Eng IC3", "Manager Level 2")
   • Grade: Job grade or level
   • Min/Median/Max Amount: Pay range boundaries
   • Currency: Based on company location
   • Location Scope: Global, country, or region

Market Data Import

• Import market salary data from external sources
• Supports data from Payscale, Mercer, or manual entry
• Market data helps inform salary band creation
• Used for compa-ratio calculations

Compa-Ratio Analysis

• Compa-ratio = (Current Salary / Market Median) × 100
• Helps identify employees below, at, or above market
• Band percentile shows position within salary band
• Used to guide compensation adjustments

Best Practices

• Regularly update market data to stay competitive
• Review compa-ratios annually
• Ensure salary bands reflect market conditions
• Use market data to inform proposal decisions
• Maintain internal equity while staying competitive