Salary and Remuneration benchmarking
Organisations often question as to whether their senior executives’ remuneration packages are in line with those offered by other firms of a similar size. Few firms routinely have access to this kind of information, and acquiring it can be difficult.
At a more junior level there are lots of salary calculators online that generally give you more detail about salaries across the globe, but the higher up the ladder you go, the scarcer this information becomes.
Salary benchmarking can help organisations obtain more details than a standard salary survey. Benchmarking gives a detailed breakdown of the compensation package enabling companies to compare salary and benefits available within specific sectors and named companies. Overall it is a much more exact science.
Advantages of Salary and Remuneration benchmarking
- Differences in pay between firms can be the difference between keeping or losing highly-valued directors, so salary benchmarking can be extremely important to the success of an organisation.
- Pay can vary widely between sectors.
- Benchmarking enables companies to compare these figures between a large number of other organisations.
- The value of different elements of the remuneration package can very greatly depending on the employer.
Salary and Remuneration benchmarking methodology
