Deciding Wage Structure and Rules for Its Administration

Question

What do you mean by Deciding Wage Structure and Rules for Its Administration?

Answer 1

Based on collection of relevant information and taking in to account some of the influencing factors, an organization should design wage structure which includes slab for basic or minimum wages, incentives, and/or increment over a period of time to gather with other financial and nonfinancial perquisites to be offered to an employee. Attempt should be made to follow principles of fairness, equity and justice to gather with transparency while designing wage structure and deciding rules for its administration. The rules should not provoke unjustified discriminations and exploitation of workers otherwise it may prove counterproductive and may give rise to grievance, and industrial disputes.