Compensation

This week's topics:

• job evaluation
• comparable worth
• the law
• article
• beyond money: toward an economy of well-being

job evaluation- method for making internal pay decisions by comparing job titles to one another and determining their relative merit by way of these comparisons

compensable factors- factors in a job evaluation system that are given points that are later linked to compensation for various jobs within the organization; factors usually include skills, responsibility, effort, and working conditions

equal pay act of 1963- prohibits discrimination on the basis of sex in the payment of wages or benefits, where men and women perform work of similar skill, effort, and responsibility for the same employer under similar work conditions

Reaction

It is important to I/O psychologists to understand the thought process behind compensable factors and comparable worth. Both are things that need to be weighed while employers are determining compensation of employees.

Analysis

I have come into contact with many people who are well below the highest pay scale (especially at the University). There are some people who are "higher up" on the pay scale and literally do LESS, understand LESS, and have been observed as playing computer games for a majority of work time. These are the people I feel should receive lower compensation ESPECIALLY in comparison to lower pay scale employees who perform way more work to support their departments. For these people, there should be a serious look into reevaluating the job position so they can receive comparable pay. 

comparable worth- notion that people who are performing jobs of comparable worth to the organization should receive comparable pay

I feel that periodically larger organizations should commit time to reevaluating job positions of those who are paid significantly more in order to reduce the number of lower pay scale jobs.

Reflection
This week's topics were very interesting to me. I'm glad we were able to cover them and do an in-depth class discussion today- it helped us to understand and apply the terminology and article information.