Phase III: Market Data and Merit Program—ungraded, but required draft
In this phase, you will collect market data.
· Market Data
· What is the competition?
· What are the local demographics for the immediate area?
· What is the job market like for the kinds of skills you will need? How hard or easy will it be to recruit and retain employees?
· Find market data on your positions online to assist you in determining a pay grade structure. (see note below)
· Establish a pay grade structure and pay grades for each position.
· Set up pay grades with a minimum, midpoint, and maximum.
· Explain how you set up your pay grades.
· Assign pay grades to each position.
· Performance Evaluations
· Describe your performance evaluation.
· Determine which type of performance evaluation you will use for each category of employees.
· Design and include the performance appraisal forms that will support your system.
· Develop a merit pay grid that supports your performance appraisal process. Explain the linkage from your performance appraisal to your merit system.
Note: The website salary com offers a media wage for the geographic area you have designated. These median wages can serve as alternatives to actual survey data.