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Non-Exempt (NE) Employees and Calculating Overtime (OT) as Part of Incentives, Commission and Bonuses

August 21, 2019  |   Compensation,Uncategorized   |     |   Comments Off on Non-Exempt (NE) Employees and Calculating Overtime (OT) as Part of Incentives, Commission and Bonuses

NE Salaried Classification A company can create a NE salaried employee classification. A NE salaried employee is paid a set salary on a weekly, bi-weekly or semi-monthly pay period. However, if the position is classified as non-exempt (NE), they must be paid OT for all hours above the defined workweek. If a NE employee is hired at a ...

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Merit Pay – Is It Worth It?

July 23, 2019  |   Compensation,Performance Management,Uncategorized   |     |   Comments Off on Merit Pay – Is It Worth It?

Merit pay systems have been around in some form since the early part of the 20th Century. The objectives of a merit pay system are: •  Attract, retain and motivate. •  Develop a method to distribute pay equitably based on performance. •  Use of merit increase guidelines tied in with objective performance measures. Expectancy Theory There is an Expectancy Theory about motivating with pay. The components of this theory are: •  ...

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Assessing the Impact of the Illinois Minimum Wage Change on Your Company

May 21, 2019  |   Compensation,Uncategorized   |     |   Comments Off on Assessing the Impact of the Illinois Minimum Wage Change on Your Company

Effective Dates of the Changes The following table shows the effective dates of the changes to the Illinois minimum wage regulations: Under terms of the bill, the wage would rise $1.00 to $9.25 per hour on January 1, 2020, and another 75¢ on July 1, 2020. Every January 1st thereafter the wage would rise another $1.00 ...

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Sales Compensation Implications in Mergers and Acquisitions

April 23, 2019  |   Compensation,Uncategorized   |     |   Comments Off on Sales Compensation Implications in Mergers and Acquisitions

Mergers and acquisitions (M&A) come with a lot of questions and uncertainty. Two different approaches to manage sales compensation in terms of design and execution, not to mention different CRMs and ERPs...yes, this won’t be easy. It’s a daunting task to think about how you’re going to figure out the best way to manage sales compensation going forward. Do you keep everything the same for the legacy ...

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Sales Compensation Program

March 12, 2019  |   Compensation,Uncategorized   |     |   Comments Off on Sales Compensation Program

It’s important that a Sales Compensation Program has Plan Provisions to guide the administration of the Plan. The following are highlights of what those should be. Goals and Plan Principles It’s important to establish what the primary goals of the Plan are and the principles of the Plan as to how the Plan will be operationalized. For example: the Plan should be fair and equitable to the individuals covered ...

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