How much should I pay my employees……

Written by Nisreen Qaqish

                                                                                                             It is a real hard question to answer, however I do believe that in the lack of a clear benchmark for each job and industry in Jordan, companies need to develop a salary administration policy that is fair to both employees and company. And will lead to attract and retain the employees within the company, therefore when developing this policy I would recommend taking a closer look at the following:

  1-Company Vision and Strategy:

      What is your company vision and strategy, how do you want to achieve it, what is the manpower caliber that will be needed and what is the manpower budget (Salaries, benefits i.e. insurance, social security) that you will need to implement your business plan

        2- Salary Structure Philosophy

What is the salary structure philosophy that is aligned with the overall strategy?

Are you looking to have a base pay and it will be tied to the variable pay i.e. bonus, incentives…     If you are a startup company you might think to have base salary and to focus on variable pay in order to make more business, however if you are a big corporate and looking for more loyal employees then you might think of having profit share, bonuses, or stock share that is linked with performanc

 3-The talent needed and the uniqueness of the job

What type of talent do you need, what is their experience, and qualifications and how much do you need to offer them

   4-The Market  

      How much your direct and indirect competitors are paying to the same type of the caliber you want to hire, where do you want to place yourself in comparison to your competitors 

      

       5-Salary Ranges

      Upon the completion of the above try to develop the salary ranges for job families and level that is based on what was mentioned above

Finally review your policy at least once per year and do updates when needed as you do not want your policy to be outdated and if you have not started yet please do not hesitate to contact us and we will be more than glade to help you.

Are you losing your employees? Do you want to know why?

Are you losing your employees? Do you want to know why?

Written by: Nisreen Qaqish / General Manager AZARHRS

During the last two years working as a consultant I have met several CEO’s for Small and Medium Enterprises and whenever I meet some I hear the same complains “We have high turnover”, “Employees are not loyal as they used to be”,   “People do not want to work at SME, they use us to gain experience and then to work with corporates” and much 

more…..

Are the statements above true or not I am not sure, but I think if we are aware of Maslow and Herzberg theory then we will know why people are leaving us?

As per the pyramid above what leads to dissatisfaction and then would force people to leave is the following:

1-      Salary

Do you believe that your employees can pay their bills and essential expenses i.e. food? If they cannot then they will leave soon once they have a 10 JD increase

2-      Job Security

Do your employees feel that they would lose their job or their job is secured? If your employees feel that there is no job security then definitely they will leave you

3-      Relationship with direct Manager

Are your direct managers competent, they know how to communicate with their team, they are respectful and resourceful?  Or they are bossy and control freak? If your managers do not know how to communicate, manage and motivate their employees then they will leave? Remember “People leave managers not companies”.

4-      Relationship with Peers

Have you created a teamwork culture? Do your employees know how to handle conflict resolution?  If there is no harmony between your employees then you will lose them?

5-      Work Conditions

Have you created a safe environment? Do you care about the wellness of your employees or you have created a tough working condition were your employees are over stressed and burnt-out? Unsafe environment, stressed and burnout environment are not really tempting to work with

6-      Company Policy

Do you have clear set of policies? Are your policies flexible and easy to understand or very strict and fixed?

7-      Growth and Career Advancement

Do you have career ladders? Do you offer learning opportunities? Do you have potential to grow? Do you have succession planning? Your top employees need to grow otherwise they will leave you

8-      Recognition

Do you reward your top achievers; do you recognize their work in public? As people like to be appreciated and rewarded not for what they are but for what they do? Even though people they do not ask for recognition but believe they need it more than money

9-      Work itself

Have you created meaningful jobs? Have you hired the right person for the right positions or you are hiring over-qualified employees where they feel demotivated? Bad recruitment decision might lead to meaningless job and then would create an urgency to leave

10-  Achievement

Do your employees feel that they are contributing to the success of the company? Can your employees share their ideas, and do you listen to those ideas and make used of them?

HR SPECIALISTS ARE HIRED TO FIRE OTHERS…… WRONG!!

In March,2004 ,  after leaving Jordan Ahli Bank,  and feeling happy that I will be working  in the HR field I called my cousin to tell her my news.

"Hello, Dear, I have great news; I am working now in the HR field.

My cousin answered with a sad tone: “Really, HR, now you will be firing people leaving them homeless… "

I hung up the phone feeling sad and speechless “Oh my god, I do not want to fire people …. I do not want to make them homeless….. I really cannot do it!”

I spent all night dreaming and imagining people leaving my office, so in the morning, I decided to give it a try and I went to work for few months. Ironically, I still work in Human Resources and I am really passionate about it. During the last 7 years, I found out that a strong Human Resources team can help solve the following core issues that can hinder the success of any organization:

  -  Poor Customer Service

  -  Low performance

  -  High Turn Over

  -  Low morale

  -  Increased Stress

At AZAR HUMAN RESOURCE, we believe in creating a long-term partnership with our client that will lead to the reduction of all these problems, in addition to many others … if you want to know more about How to solve these problem please check our website, and follow our blogs with all update

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