The Unhappy Supervisor

Miss Joan Santos, a computer programmer in Mannadel Corporation for more than six
years now, was discussing her salary situation with Mr. Roderick Santiago, her manager. Miss
Joan was unhappy because she did not receive any salary increase last salary evaluation, while
some employees who were recently hired got an increase from ten to fifteen percent.

Miss Joan’s performance has been considered very satisfactory for the last five years and
previous to this she got very substantial increases in salary due to the important programs that
she made for the corporation related to accounting and personnel matters. She made a lot of
improvements in the purchasing systems and systematized inventory records in materials
management.

The management had recently started a comprehensive job evaluation program and some
positions are aligned within the salary grade approved by the management committee, where Mr.
Roderick Santiago is also a member. Mr. Santiago explained to Joan that her salary was already
way above the salary grade for the position evaluated until the salary range can catch up to her
level in the salary plan. Mr. Santiago also explained that she is the most senior among the
programmers and that instead of cutting her salary back to the job range, they are considering her
for an incentive bonus, which is not as substantial as that of her co-worker’s in the department
who are new in the positions.

Miss Joan is not satisfied with the program explained by Mr. Santiago. The whole night
she planned to file a leave of absence despite the many rush programs assigned to her.

Note: Use the Case Format

Problem
Case Facts
Analysis/Hypothesis
Alternative Courses of Action
Recommendation and Conclusion

PROBLEM:

Miss Joan is unhappy and dissatisfied because of the salary distribution. She believed that
the salary must be relevant with efforts also, there was no clear communication and complete
transparency between the committee and the employees, as to how the job positions were aligned
and how the salary grade was made.

CASE FACTS:

 Miss Joan is a computer programmer, who is working for Mannadel Corporation for six
years now and, is also the most senior among the programmers.

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  She was not happy with the recent comprehensive job evaluation, where she received no
increased salary pays, while her new colleagues got an increase from ten to fifteen
percent
 Her performance has been considered very satisfactory for the last five years and
previous to this, she got a very substantial increase in salary due to important programs
that she made for the corporation, related to accounting and personnel matters.
 She made a lot of improvements in the purchasing systems and systemized inventory in
materials management.
 Mr. Santiago explained to Joan that her salary was already above the salary grade for the
position evaluated and allocated in the salary plan, where she will not get any increase at
the moment until the salary range can catch up to her level in the salary plan. Miss Joan
was not satisfied with the offer by Mr. Santiago.

ANALYSIS/HYPOTHESIS:

This situation was caused by not having a complete understanding on how the base pay
structure is made and, also a lack of leadership, which effects to misunderstandings and
dissatisfaction
between employees and the management. Furthermore, this situation emphasizes the importance
of
wage and salary structure. The wage and salary system are the work hierarchy to which the pay
rate is
stated. Positions are assigned to pay grades based on work appraisal outcomes and their
relationship to
the pay system resulting from wage survey data.

For the case of Miss Joan, her salary was already way above the salary grade for the
position
evaluated and allocated in the salary plan, which means she is a red-circled employee. A red
circle policy
is used in order to freeze the salaries of competent employees, and mostly high seniorities, which
can
only be adjusted if they are qualified for a promotion or, a new salary grade to the new
assignment. It is
important to take note in this case, that Miss Joan is working for more than six years, however,
her
performance which is very satisfactory, was from five years ago, therefore, she received no
salary
increase or promotion.

ALTERNATIVE COURSES OF ACTION:

A better solution for many employers and employees is to incorporate a succession plan
into the compensation structure. As employees receive performance-based salary increases,
prepare them for higher level positions through training and development. Make goal-setting

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 mandatory for performance appraisals. Creating a culture that supports employee advancement
prevents employees from becoming
complacent.

RECOMMENDATION AND CONCLUSION:

In conclusion, as to Miss Joan Santos and Mr. Roderick Santiago’s situation,

communication, support, planning, rewarding and relationship to the employees are important as
a work power. Salaries and Compensation is important factor sometimes. Workers are very much
concerned with the rates of their salaries/wages and benefits as their standard of living are linked
to the amount of remuneration that they get. Every manager should listen and understand the
situation for their employees, and should decide on what they should do when it comes to the
company. They should comprehend and communicate more to make the employees feel that the
manager cares for their concerns. And for the employees, they should work hard so that the
manager can see and appreciate their efforts that they contribute to the company and
understanding the positions and levels of salaries.
I recommend that companies should properly evaluate and handle their staff, especially
the seniors, their staff who have been their employees for a long time who should be given
enough consideration when it comes to its service that is shown in running the company, he/she
would work for.

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