What is criteria-based salary review in SAP ORG-LX-T9N - Team: Corporate Translation?

SAP Term: criteria-based salary review

• Component: ORG-LX-T9N

• Component Name: Team: Corporate Translation

• Description: Under SAP Talk, an employee's salary increase depends on certain criteria. before SAP Talk, the employee's performance rating and the merit matrix determined the level of salary increase.

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  Key Concepts: 
  Criteria-based salary review is a process used by organizations to evaluate and adjust employee salaries based on predetermined criteria. This process typically involves comparing an employee's current salary to the salaries of similar employees in the organization, as well as to the market rate for similar positions. The criteria used to determine salary adjustments can include performance, experience, qualifications, and other factors. 
  
  How to use it: 
  Organizations typically use criteria-based salary reviews to ensure that their employees are being compensated fairly and competitively. To conduct a criteria-based salary review, organizations should first identify the criteria they will use to evaluate employee salaries. This could include performance, experience, qualifications, and other factors. Organizations should then compare each employee's current salary to the salaries of similar employees in the organization and to the market rate for similar positions. Finally, organizations should adjust employee salaries accordingly. 
  
  Tips & Tricks: 
  When conducting a criteria-based salary review, it is important for organizations to be transparent about the criteria they are using and how they are making decisions about salary adjustments. Organizations should also ensure that their criteria are fair and equitable for all employees. Additionally, organizations should consider providing employees with feedback on their performance during the salary review process. 
  
  Related Information: 
  Organizations may also consider conducting a job evaluation process in conjunction with a criteria-based salary review.