That's why we released the Merit Manager now, because Human Resources teams are busy and they appreciate tools to help them make informed decisions.
San Francisco, CA (PRWEB) April 27, 2009
Over the past six months, San Francisco-based compensation consulting firm Presidio Pay Advisors has been inundated with calls from companies struggling to manage compensation costs in this difficult economy. Many of the firm's clients delayed merit increases three to six months, waiting to see how their businesses weathered the first part of the year. To assist similarly situated companies in evaluating compensation spending for the remainder of 2009, Presidio Pay has released another self-service tool from its line of proprietary compensation models. The latest model - Merit Manager - is a salary management and diagnostic tool that helps companies determine where limited salary budget dollars are best spent.
In recent months, many companies have resorted to dramatic cost-cutting measures including layoffs, mandatory vacations, salary freezes or cuts, and reduced or suspended 401(k) matching. A few fortunate companies have not had to take such drastic measures, but at least 70% of companies have significantly reduced their salary increase budgets. By most reports, merit budgets have been cut in half for companies that still plan on increasing salaries this year.
"Constrained budgets make for difficult pay decisions and companies need to be absolutely certain every dollar is spent as effectively as possible," said Brooke Green, a Principal at Presidio Pay Advisors. "We're encouraging our clients to continue providing salary increases to the top performers in the organization, even though it means managers have to make difficult trade-offs." Green continues "That's why we released the Merit Manager now, because Human Resources teams are busy and they appreciate tools to help them make informed decisions." Green adds, "The fact that we're giving it away also helps struggling companies who can't afford a software solution right now."
Presidio Pay believes utilizing the Merit Manager model will enable companies to identify the optimal use of limited salary increase budgets and help Human Resources facilitate decision making sessions with senior managers.
Merit Manager is particularly useful for:
- Developing merit increase budgets
- Allocating budget dollars across functional areas or job families
- Modeling the impact of individual merit increase decisions
- Identifying acceptable trade-offs for constrained budgets
- Assessing a company's salary management patterns
Presidio Pay Advisors is a San Francisco-based compensation consulting firm that provides companies and their boards of directors with independent compensation consulting services covering executives, broad-based employees, sales forces and specialty business units. The firm combines years of traditional consulting experience with practical knowledge and close working relationships, providing clients with valuable insight into a broad range of compensation issues. You can find Merit Manager and other compensation tools on their website at http://www.presidiopay.com.
Presidio Pay Advisors Merit Manager tool is available to the media to download, or by contacting Brooke Green at 415-438-3403. The tool is available to the public at no charge on Presidio Pay's website.