• LinkedIn
  • YouTube
  • Twitter
  • Facebook
  • Google+

Changing compensation systems? Here’s how to avoid age discrimination claims

by on
in Compensation and Benefits,Discrimination and Harassment,Human Resources

Economic times are still tough, and employers continue to look for ways to save money, including reviewing how much they pay their employees. If you are contemplating changing your compensation structure to reflect today’s lean job market, do so carefully—especially if you suspect you may be overpaying some employees for the work they do.

The problem: Older, more experienced workers may be at the top of your pay scales.

Begin by getting expert help to determine the market rate for wages. If you discover that your pay plan is too generous, make gradual adjustments to bring high earners back into your wage bands. You can do that by giving smaller raises to those already earning near the top of the new range, with larger increases going to those who earn less. Even­tually, everyone will fall within the new range.

Done right, this won’t set you up to lose an age discrimination lawsuit.

Recent case: John worked for Exxon Mobil in...(register to read more)

To read the rest of this article you must first register with your email address.

Email Address:

Leave a Comment