What is your plan for the pay of this employee

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Reference no: EM133344699

Case Study: You have an employee who has been working as a purchasing agent for your organization. The employee earns the range midpoint of $60,000 a year. The range maximum for this pay grade is $68,866. The employee is performing the job at a satisfactory level. A job analysis has been performed for this position and based on the job duties and responsibilities performed by the job it has been reclassified as a Materials Manager. Your organization currently does not have this position slotted in your logistics and supply chain job family. Credible external market data reveals that the going market rate among your peer organizations for a Materials Manager is $84,000. External market data also reveals pay for Materials Manager at the 75th percentile of pay is $96,300 and external pay for Materials Managers at the 25th percentile of pay is $73,000. Assume your company has limited resources available to provide equity and merit adjustments. What is your plan for the pay of this employee and what will be the new pay of this employee whose job has recently been reclassified? Please provide justifications for answer.

5. You are in the middle of a reduction of force for your clerical workforce. Because of this reduction in force you will be demoting an employee working in a Senior Administrative Assistant II position earning $43,674 a year to the job of an Administrative Assistant I position in the pay grade below the Senior Administrative Assistant II position. This employee has received outstanding performance appraisals in the past. The range minimum for Senior Administrative Assistant II pay grade is $38,825. The range maximum for the Administrative Assistant I pay grade is $42,000, the range midpoint is $37,000, and the range minimum is $30,030. The two other employees who will be working alongside the demoted employee as an Administrative Assistant I are currently earning $31,000 and $32,000.

Question: What is your plan for the pay of this employee and what will be the new pay of this demoted employee? Please provide justifications for answer.

Reference no: EM133344699

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