Best Compensation Practices for Hiring
Compensation and Organizational Effectiveness has created a checklist of best compensation practices for hiring. It is crucial that hiring managers work with their Human Capital Services liaisons and departmental leadership when conducting a position recruitment. By following this checklist, hiring managers can ensure they are adopting fair and consistent recruitment practices with regards to compensation.
Suggested salary range posting disclaimer
The following is a sample salary range disclaimer that may be used when conducting a position recruitment. Adjustments should be made to reflect the appropriate minimum salary rate of the assigned pay grade per the job classification determination made by Compensation and Organizational Effectiveness.
Please note: the minimum salary for this position is $40,000. Actual salary will be determined based on the candidate's experience, education, internal equity and departmental funding. Salary offers are typically made between the minimum and midpoint of the salary range. The range indicated includes both the typical hiring range and potential future progression.
Step 1: Create the position description
- Hiring manager talks to approving administrator for budget approval.
- Identify the desired pay grade.
- Compare range to peers within department.
- Identify typical pay for similar positions at K-State by reviewing university compensation structure and job descriptions.
- Ensure the job duties in the position description reflect the actual job expectations.
- Determine objective criteria for position (education, experience and/or certifications).
- What are the minimum requirements? Minimum requirements must match those included in published job descriptions at the time of recruitment.
- What are the preferred requirements?
- Determine the criteria that will correspond with the minimum, midpoint and maximum of the pay grade.
- Consult with Human Capital Services to address any questions.
- Submit position description for approval by Compensation and Organizational Effectiveness.
- Compensation will review the position description and determine market pay for the position.
- Compensation has responsibility for making a final determination for job title, pay grade and FLSA status. Often, final determinations are made utilizing a job title that represents the "best fit" for the job duties to be performed.
Step 2: Advertise
- Ensure full salary range is posted as assigned per the final determination following Compensation's review. The full salary range must also be posted in the job announcement.
- Hiring managers and departments may use the suggested salary range posting disclaimer if needed to establish expectations regarding the salary rate that will be offered to candidates. This statement can be of help to hiring managers or departments that may have budget or funding parameters for recruiting the position.
- Advertise minimum and preferred requirements. Minimum requirements must match those included in published job descriptions at the time of recruitment.
Step 3: Interview, then select and negotiate
- Hiring manager talks to search committee and Human Capital Services liaison regarding approved salary range for the position.
- Hiring manager talks to applicant(s) about salary range.
- Appointing authority (i.e. dean, provost, vice president, department head, budget/fiscal offer) uses the salary estimator tool to guide pay decisions prior to offer.
- Consult with Compensation with any questions or for guidance on paying beyond the midpoint.
- Negotiate with candidates based on qualifications and pre-established criteria.