HRM 1281z- Fall 2023
Compensation plan assignment
Working in a group of 3 to 4 people you will complete the development
of a basic compensation plan. (You will be responsible for setting up
your own group. You can communicate through the discussion board
that has been set up in your course for this purpose) You are expected
to utilize materials from your course and research materials on the
internet.
Scenario: You have been hired as the HR person for a new sporting
goods business. The business will be opened in Red Deer in 6 weeks.
It will sell sporting equipment and clothing along with offering group
lessons for skiing and basketball during the winter season. There will
also be a need for corporate and group sales for sports teams, along
with marketing and accounting positions. Two people will manage the
team which will also include 2 cashiers and 4 on-floor sales personnel.
1. Create a compensation plan outline. Use the criteria in the scenario
to decide on the number of people and positions required. You will
develop an HR budget based on your research. Begin with job
descriptions for each position on the team, and set a generalized
budget for your personnel. (You will research the current competitive
rates. Do not copy and paste job descriptions, however, you can
utilize examples to reference. 15 marks
2. Rank jobs and place them within a matrix. Outline what, if any, pay
tiers should exist in pay structures for management and sales
employees, for example. You also should determine potential tiers
within each job classification. 10 marks
3. Develop seniority grades within each job classification. It’s
essential to develop opportunities for career advancement. For
example, create levels or senior- and entry-level roles that may affect
the compensation matrix but offer advancement for employees. 10
marks
4. Settle on salaries and hourly pay rates. After you outline your
compensation platform, assign pay rates and salary ranges for each
position and job classification. This is when you will finalize your HR
budget. 15 marks
5. Evaluate and decide on the total compensation package. What
will be included for benefits? What other compensation might you
consider and why? 15 marks
6. Complete necessary policies. Complete policies related to vacation
times and commissions. 10 marks
7. Develop a communication plan. All of your employees should learn
about the compensation program at the same time. How would you
communicate this type of information? Develop an email as one
example. 10 marks
8. Monitor your compensation plan. How will you ensure your plan
stays current. Provide a specific plan on how this will be
accomplished. Don’t forget to include accountability and timelines. 10
marks
9. Overall report appearance 5 marks
Project report format
Title page (Be sure all member names are on the title page
Table of Contents
APA referencing
12 font, word format