When structuring Salary or developing a salary scale you should
consider the following:
Scaling Salaries is tied with A grade structure: therefore you have to define what is your grading system and tie to salaries Consider factors like experience & qualification when defining grades i.e. what is the slot your going to put plp with diplomas, BSC & MBA and for each slot what is the years of experience Consider factors if plp have the right number of experience but dont have the qualification which slot they are best fitted. Please look at the following example Gra Qualificat Experie B.S B.S B.S Month All. de ion nce Mini Mid Max 1A 1B 1C 2A 2B 2C 3A 3B 3C 4A 4B 4C Now depending on management decision you can consider either 1 being the CEO level or vice verse. A, B & C can be used to determined the following: A = having the required education & experience B= Having the right qualification but Not experience or you can add even C C= Not having the right experience but not the qualification Note: you still need to do more research on how to scale salaries you might need to ask other organisations on how they did theirs and consider your national labour law, the above example just to help think about it The allowances can be paid in lump sum or can be divided (housing, electricity, water, phone, transportation) depending on your labour law and type of organisation. Dont forget go consider deductions (tax, pension ) in the end how much really do you want the employee to get. B.S Mini Basic Salary Minimum B.S Mid Basic Salary Medium B.S Max Basic Salary