Is There a Maximum Rate of Pay?
You are the Total Rewards Manager for Front Appliance Company. You are usually a pretty relaxed, friendly, and easy-going manager. Although you are a no-nonsense, competent executive, you are one of the most popular managers in the company. This particular morning, however, you feel a challenge ahead.
As chair of Front’s job evaluation committee, you called a late-morning meeting at which several jobs were to be considered for re-evaluation. The jobs had already been rated and assigned to Pay Grade 4. But the Office Manager, Ortho Janson, was upset that one of his employees was not rated higher. To press the issue, Ortho had taken his case to two executives who were members of the job evaluation committee. The two executives (Production Manager Peter Strong and Marketing Manager Margo Arms) then requested that the job ratings be reviewed. Peter and Margo supported Ortho’s side of the dispute, and you are not looking forward to the confrontation that is almost certain to occur.
The controversial job is that of receptionist. Only one receptionist position exists at Front Appliances, and Rebecca Reichart held it. Rebecca has been with the firm 14 years, longer than any of the committee members. She is extremely efficient, and virtually all the executives in the company, including the president, have noticed and commented on her outstanding work. Peter and Margo are particularly pleased with Rebecca because of the cordial manner in which she greets and accommodates Front’s customers and vendors, who frequently visit the plant. They feel that Rebecca projects a positive image of the company.
To begin the meeting, you say the following:
But before you can finish, Peter interrupts: “I suggest we start with Rebecca.” Margo nods in agreement. When you regain your composure, you quietly but firmly assert:
Then you proceed to pass out copies of the receptionist job description to Peter and Margo, who are visibly irritated.
Continue in the meeting and lead the discussion, in a conversational tone as if Rebecca were also in the room.
1. Explain to the group why you insist that the job, not the person, be evaluated.
2. Share with the others whether or not you think there should be a maximum rate of pay for every job in an organization, regardless of how well the job is being performed. Justify your response.
3. Rebecca is earning the maximum of the range for her pay grade. Discuss ways an employee at the top of his/her pay range might be able to obtain a salary increase. Be specific and give good examples that Rebecca might also be able to apply easily to her situation.
