Compensation
Today’s Agenda
• Explore Compensation Issues for NESA Schools
• What is working and what is not?
• Are there new trends or issues for which you should
be preparing?
• Discuss Compensation Philosophy Process
Components of Compensation –
Overseas Faculty Hire
• Salary
• Tuition assistance
• Health Insurance
• Housing
• Retirement
• Airfare to home of record
• Shipping
• Transportation
• What else?
Human Resource Management
• HR
• Personnel
• Salary
• Housing
• Recruitment
• Transportation
• Tuition for Kids
• Handbook
4
Key Common Challenges - Background
• Knowledge driven economy
• Increasing demand for high quality International
education
• Increasing number of schools (China)
• Expanding schools
5
Key Common Challenges - HR
• Critical to the success of a school is your ability
to reach, engage, attract and retain best global
talent
• Develop best practices in talent management
and employee services
6
Best Practices
• Planning for needs
• Recruitment
• Hiring / contracting
• On board – orientation
• Employment / retention
• Termination / separation
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Needs – HR planning
• Project School growth, student enrollment, revenue
expectations
• Assess internal needs – placement, current updates,
new jobs
• Develop HR plan for recruitment and management
• Number of overseas vs. local hires
• Expectation levels
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Recruitment
• Develop strategy – compensation benefits
• Coordination between Director and HR/BO
• Detail the plan
• Marketing materials
• Use staff to sell school, country
• Recruitment fairs, on-line options
• Referrals
• Bonus plan
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Bonus Plan?
• Should schools consider a retention or early signing
bonus for faculty whose contracts are expiring?
• What about something to motivate faculty to inform
the school if they are planning to leave?
• Should there be something different for local hire
employees?
• Are there attendance issues? If so, are the policies
and procedures in place adequate to handle these
situations?
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Hiring / Contracting
• Offer letter / letter of intent
• Standard contract
• Addendum – specific
• Contract signing
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On boarding / Orienting
• Stay in touch often / Establish a buddy
• Support travel / relocation plans, housing – end
to end
• Welcome committee, Campus tour
• Help settle in – furnishing, banking, phones,
net, utilities
• Orientation to operations
• Assign teacher mentor
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Termination /Separation
• Exit interview
• Review
• No surprises
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Compensation Questions
• Do we have to pay more for some teachers? - Math,
Science, Computer
• Do we pay less for Lower School?
• What about collegiality issues with differentiated
pay – traditions of equity on campus?
• Does everyone deserve a raise every year?
• Is compensation the thing that motivates teachers?
Compensation and Benefits Strategies
• Market Position
• Cost per Employee
• Internal vs. External equity
• Lead vs. Lag
• Attraction vs. Retention
• Seniority vs. Performance
• Education vs. Skills
Compensation Philosophy
•Developed by Board and
Superintendent
•Drives Decisions
Salary & Benefits
•Supports Mission
Budget
Compensation Philosophy
Organization Mission and Vision
Why is philosophy important?
• Operational framework: Leads to compensation
and benefits strategy
• Provides consistency over time
• Guides decision making
• Communicates reason for decisions
• Demonstrates what is important to the school
The philosophy statement is not:
• Static document
• The answer to all compensation and benefits questions
Determining Philosophy
• Classify employee needs.
• Identify categories of protected persons.
• What should be rewarded or valued in regard to
human capital?
• What are the school’s employment and
retention goals for the next 5 years?
Develop Philosophy Statement
• What role does compensation and benefits play in the achievement
of the school’s strategic plans (financial goals)?
Benefits
Shipping
• What are the standard arrangements for
shipping of personal items for exiting
employees?
• What help is available to the business manager
for the logistics?
• Is there a way for schools to work together to
reduce costs?
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Benefits
•
Health and Dental insurance – what is offered? Is
there a cost to the employee? Does it matter if the
employee is single / married / family?
• Retirement plans – end of service benefits.
• Professional development – what is offered? How
is this determined? Is anything required?
• Travel allowance / summer / holiday / emergencies
/ bereavement / sick family member / etc.
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Benefits
• Tuition remission – is this 100 % / for all
children / for all faculty and staff / local and expat?
• Long Term Disability (LTD)
• Unemployment insurance – what are the local
requirements?
• Who handles the visas and immigration issues
and paperwork?
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Benefits
• Is housing provided for all ex-pat employees
and families? What is included in this –
furnishing / utilities / cleaning / maintenance
/ etc.
• Is a vehicle provided for ex-pat employees?
What about transportation to / from school /
other requirements?
• Are laptop computers provided for faculty –
both local and ex-pat?
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Your Challenge
Mission &
21st Century
Education
Innovation
Financial
Constraints
Sunday morning topics
Cracker Barrell
• Used text books
• Reporting to Faculty
• Software systems
• Administrative structure
• Facility/Security Structure
• Procurement
• Non-profit
• Tuition Collection and discounts