Internal pay structuresreflect the relative value of jobs within the organization. Differentials in payrecognize responsibility, skill level, and complexitybetween positions, supporting internal equity and progression paths.
Extract from HRCI-aligned HR knowledge (Total Rewards):
SPHR frameworks state that compensation systems must “reflect internal alignment based on job evaluations, responsibility, and career ladders.†Internal structure guides fairness andpromotion planning.
Question # 42
Customized target market competition, cafeteria reward systems and performance management are major considerations in re-engineering:
These elements are directly tied tocompensation and benefits design—especially when focusing oncafeteria plans,market-based pay, andperformance-based incentives. The SPHRTotal Rewardsdomain highlights reengineering compensation systems to reflectstrategic objectivesand market competitiveness.