How to achieve a successful salary review

Chefsguide

Informal relationships put pressure on formal processes

Clarity is always good in the HR context. In some teams, the manager also has a relaxed relationship with the employees. Then clarity becomes even more important. In order not to negatively affect group dynamics, it is important to have strict routines for the salary review process.

Templates

If you want to build a formal salary review process from scratch, it's a good idea to develop templates to use. Good templatess to have:

• Performance evaluation: This template is needed to standardize the assessment of employee performance.
• Salary Proposals: A template used to structure salary adjustment proposals is invaluable for improving clarity.
• Feedback and Development Plans: These templates are great to use to connect the pay review with professional development.

Continuous conversations

It is important to offer conversations about performance and development continuously throughout the year so that employees don't feel unprepared - no salary revision should come as a surprise. How do you lay a good foundation for a salary discussion?

• Preparation: Collect feedback and relevant data before the meeting.
• Dialogue: Allow the employee to share thoughts and feelings about work and development.
• Looking ahead: Ensure future goals and opportunities for salary development are discussed.
• Transparency: Be open about how the company's situation affects the salary review.

Get support from your HR department

Most of the time, you, as the manager, are responsible for the salary review process, but don't forget that you can find great support in the HR department. They are there to support managers with training, templates, and advice. Often, the HR department can assist with a systematized process for information retrieval or similar tasks. For example, you can check with your HR department before the salary review process to get an update on:

• The company's salary policy
• The economic conditions right now
• Timetable for the salary review
• Status of union negotiations
• Templates

Data security is, as usual, A and O

As our world becomes increasingly digitized, the importance of data security increases. Especially during the salary review, when sensitive information is handled, protecting employee data is of the utmost importance. Excel files being emailed crosswise, saved locally on computers or handled in open office environments are typical examples of when data protection is lacking.

Eliminate errors in the salary review

Errors that occur during the salary review can have significant consequences for both employee engagement and the company's reputation. To avoid such problems, accuracy and preparation are essential. Here's how you can prepare:

• Ensure that all relevant information on employee contributions is up-to-date and accurate.
• Implement procedures for regular review of data to detect and correct any errors in a timely manner.
• Make sure everyone involved, from managers to HR, has the skills and tools they need.
• Use employee feedback after the salary audit to adjust the process along the way.

By including these aspects in the salary review, you can build a more fair, transparent and efficient process that contributes positively to the company culture and makes the salary issue a relaxed and natural part of life as an employee.