Employees usually compare their wages to those of others in order to see if they are paid according to the market value. Owing to the fact that they dedicate time and effort not only to the educational preparation, but also at the workplace, they want to know if they are appreciated according to their performance. However, employees are not the only ones who are interested in finding out the salary practices of other employers. Business managers are required to compile salary survey data so as to be able to offer their employees competitive wage packages and at the same time to respect regulations. Both public and private organizations use the market analogy as a guidance for structuring their pay systems. Another reason why employers are set on creating competitive wages is to comply with the requirements of employees that constantly demand objectivity and equal pay. The salary survey is the best way to assess correctly the market parity.
A wage is the combination of hourly wage figures and the salary numbers of a specific industry. the reason why a company is required to compile data is to establish the wages that employees generally receive for a specific title within the industry. Not only does this help employers create fair wages, but also to calculate the pay increases necessary for new and old employees alike. Generally, when a company decides to make an analysis it should take into consideration the place where the audit is carried out. More precisely, if your interests are national, an analysis performed only at regional level will not offer you good insight into the matter. Additionally, agency realizes analysis at local level because job recruitment are local. This is why the employer needs professional surveys. They tend to focus on the national market, rather than on the local one. Equally important is to remember that small agencies provide consultant day rate information mostly from bigger organizations, which may not always be very useful. If the analysis does not focus on the year of the financial quarter, then the information is not relevant. Make sure not share your findings with other firms unless they provide you their results as well.
Moreover, it is not a good idea to ask the employees directly. You should rather consider leaving questionnaires in the mail. All you have to do is to explain the purpose of the survey and appeal to their understanding. There are many survey vendors on the market that use public records to compile salary data, as well as websites such as Day-Rate that offers information on the day-rates of consultants from the oil industry. However, there are many others that are similar and that are useful tools for both employees and employers. The conclusion is that conducting an analysis of the market is not at all easy, but it is important if you want to maintain your employees happy and pay them according to their true value. Achieving market parity is also good for the business because you become a trusted and legit business.