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Avoid unfairly discriminating on pay for the same work with these 6 HR systems

by , 08 December 2015
The Employment Equity Amendment Act of 2013 says that an unjustifiable difference in the terms and conditions of employment, between employees who do similar work, amounts to unfair discrimination.

In other words, it's unfair if you pay employees differently for similar work, and so all employees who do the same, or similar work, must have the same terms and conditions of employment.

But if you want to 'justify' any differences in pay or working conditions, then ensure that you have the following 6 HR systems in place.

HR System #1:

You must have a performance management system to objectively assess performance of employees. This way you can  justify any rewards for outstanding performance according to your standards.

HR System #2:

You must have a job ranking system which measure the jobs within your company and to identify jobs of equal value.

HR System #3:

You must have a remuneration policy to calculate the pay band for each job. You can take into consideration skills, qualifications and experience when doing this.
 
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HR system #4:

You must have long-service policies which clearly show which portions of salaries are connected to service and seniority.

HR system #5:

You must have a clearly defined retention strategy which takes into account changing working conditions.

HR system #6:

You must have a disciplinary policy which outlines the processes when reducing an employee's pay who's been demoted.
 
*Those were 6 HR systems you simply must have in place in order to justify any differences in pay or working conditions.

To learn more, subscribe to the Practical Guide to Human Resources Management.
 
 
 
 

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