SalaryTrends 
 
FreshView
a publication of Cascade Employers Association
 

OCTOBER 2012    

   Dollars & Sense Poll

  In This Issue:

 

 

 

 

 

 

The Expert Explains: Blended Jobs –
How Do You Pay An Employee Who Wears 4 Hats?

By Carey Klosterman, PHR
Director, Compensation Services
cklosterman@cascadeemployers.com

When organizations are operating leaner, responsibilities are spread out to the remaining staff resulting in various hats being worn. A good rule of thumb is to pay an employee for their primary job. If you have an Accountant who occasionally answers phones, makes copies and takes trips to the post office, you should pay them for the higher level/primary job they are performing as an Accountant. It is important that you do not discount their pay because they occasionally perform some lower level tasks. However, in instances where you truly have a “blended job,” where an employee is clearly fulfilling more than one job description, it is important to accurately pay them for the job(s) they are performing.

I recently worked with a company who had an Administrative Assistant who took on some additional higher level duties. The employee was hired as an Administrative Assistant and had been performing this function for over a year. The organization was going through some downsizing and as the staff numbers decreased, the workload per employee increased and responsibilities were re-distributed.

The Administrative Assistant now took on some higher level HR, benefit and accounts payable duties as well. They were not responsible for the entire function(s), but had pieces from each job they took care of. Again, paying for the primary job is the main objective but these new responsibilities must be recognized as well, especially when they are at a higher skill level. It is a good idea to have the employee or supervisor track the time spent performing each function and possibly update the job description if necessary.

Pricing blended jobs is not a clear cut process and is best done by an educated specialist. There is no mathematical equation or formula. It is a very “subjective science,” based on detailed information about what the employee is spending their time doing.

  1. The job can be broken out into pieces and pay information can be gathered based on those pieces. The following illustration shows how the job “pieces” can be priced reflecting the percentage of time spent performing the different functions mentioned above, and how the data could be calculated (illustration ONLY, not actual pay information):
     
  2. SAMPLE A
    Job
    Title
      Survey Pay  
      Information  
      Time Spent as  
      a Percent (%)  
    Pay Rate
    Calculation
      Administrative Assistant  $14.0070%  $14.00 x 70% = $9.80  
      HR Assistant$16.0015%  $16.00 x 15% = $2.40  
      Benefits Assistant$19.005%  $19.00 x 10% = $1.90  
      Accounts Payable Clerk$16.005%  $16.00 x 5% = $0.80  
    Total 100%$14.90

     

  3. Using a more simplified calculation, the pay information could also be gathered based on the “primary” job and a percentage could be applied for the additional responsibilities they are performing. For example, The Administrative Assistant spends 70% of their time performing Administrative functions. Since this is where they spend the majority of their time, they should be paid as an Administrative Assistant. However, they could also receive an additional percentage (e.g., 5%) to recognize the additional responsibilities.
     
  4. SAMPLE B
    Job
    Title
      Survey Pay  
      Information  
    Additional
    Responsibilities
      Administrative Assistant  $14.00  $14.00 + 5% = $14.70  

These are just two samples, among many, of finding creative ways to pay your employees fairly. In these lean times, being creative with pay is good for both the organization and the employee. Employees are happier and more engaged when they feel their extra work is recognized. Happier and engaged employees feel more accountable for the bottom line, which makes for a happier organization.

Do you have jobs in your organization that could count as a blended job? How do you price those to be competitive in the job market? If you have questions or comments, or you would like a compensation specialist to price a job for you, contact us.

TOP

The Latest Wage Information Is Now Available!

By Cascade Staff

Three hundred ninety-three companies participated in the latest Oregon and SW Washington survey of wages and salaries for almost six hundred specific jobs. In non-compensation speak; this is a report that tells you how much organizations around you are paying for nearly six hundred different jobs, right now. When you start the process to recruit or hire, or you need to make sure compensation is correct for a current employee, this is the first resource to look at.

That’s great for today, but what about two months from now when wages might be just a little (or a lot) different than they are today? Well, there is a resource that can help you with figuring out wages “real-time” and it is easy and fast to use. You can even project forward to see how much wages might be in the future, say six months from now.

You will need your name and password (as usual) and then just fasten your seatbelt and give it a try. Not sure you will like it? There is a short free webinar that explains just how easy it is and gives clear instructions.

If you are a member of Cascade and you participate in our surveys, this information is free to you. If you are interested in learning more about how to get this information, just contact us.

TOP

Compliance Help: USCIS Launches Spanish-language
Version of Online Resource Center

Source: CCH

The U.S. Citizenship and Immigration Services (USCIS) announced that it has launched a Spanish-language version of I-9 Central, an online resource center designed to provide information and assistance related to the most frequently accessed form on USCIS.gov: Form I-9, Employee Eligibility Verification. This free, easy-to-use website provides employers and employees simple one-click access to resources, tips and guidance to properly complete Form I-9 and better understand the Form I-9 process.

I-9 Central includes sections about employer and employee rights and responsibilities, step-by-step instructions for completing the form, and information on acceptable documents for establishing identity and employment authorization. I-9 Central also includes a discussion of common mistakes to avoid when completing the form, guidance on how to correct errors, and answers to employers’ recent questions about the Form I-9 process.

By law, U.S. employers must verify the identity and employment authorization for every worker hired after Nov. 6, 1986, regardless of the employee’s immigration status. To comply with the law, employers must complete and retain Form I-9.

TOP

Survey Spotlight

By Tina Hamel, Survey Manager
thamel@cascadeemployers.com

SalaryTrends® surveys from Cascade Employers Association cover the pay practices of diverse organizations from various markets (Oregon, SW Washington, Northwest Regional, and National), and include multiple relevant data summaries. These valuable tools enable users to evaluate their competitiveness within specific talent markets.

Open for Participation:

Opening for Participation in November:

Contact us with questions at surveys@salarytrends.com.

TOP

Wondering About Who Is Working Remotely?

Source: U.S. Census Bureau; www.census.gov

Census Bureau Report Shows Steady Increase in Home-Based Workers

In 2010, 4.2 million more people worked at home than a decade before, according to a report released by the U.S. Census Bureau. Home-Based Workers in the United States: 2010 contains findings from the Survey of Income and Program Participation and the American Community Survey. The number of people who worked at home at least one day per week increased from 9.5 million in 1999 to 13.4 million in 2010, increasing from 7.0 percent to 9.5 percent of all workers. The largest increase occurred between 2005 and 2010, when the share grew from 7.8 percent to 9.5 percent of all workers, an increase of more than 2 million.

The survey differentiates by those who work exclusively from home (home workers), those who worked only outside of the home (onsite), and those who worked both from home and at a location outside of the home (mixed workers). The survey revealed that median household income was significantly higher for mixed workers at $96,300, compared with $74,000 for home workers and $65,600 for onsite workers.

According to the American Community Survey, 5.8 million or 4.3 percent of the U.S. workforce worked the majority of the week at home in 2010. This is an increase of about 1.6 million since 2000. Because of its sample size and timeliness, with data collected from about 3 million households annually, the American Community Survey provides both reliable sub national estimates and detailed information about the class of worker, industry and occupation of home-based workers.

Estimates from the 2010 American Community Survey indicate that the Boulder, Colo., metropolitan area had among the highest percent of workers who worked from home most of the week with 10.9 percent, followed by Medford, Ore., with 8.4, Santa Fe, N.M., with 8.3, Kingston, N.Y. with 8.1; and Santa Rosa-Petaluma, Calif., with 7.9.

Detailed class of worker information from the American Community Survey suggested that although nearly half of home-based workers were self-employed, government workers saw the largest increase in home-based work over the last decade. Home-based workers increased by 133 percent among state government workers and 88 percent among federal government workers. There was a 67 percent increase in home-based work for employees of private companies.

Other findings include:

  • About one in 10 who worked exclusively from home were 65 and older in 2010.
  • About one-fourth of home-based workers were in management, business and financial occupations.
  • Home-based workers in computer, engineering and science occupations increased by 69 percent between 2000 and 2010.
  • Mondays and Fridays were the most popular days to work at home for those who work both at home and at another location.
  • Metro areas in the Southeast, Southwest and West had the largest percentage of workers who worked from home.

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