Asked by Cierra Clark on Jul 18, 2024

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Which element establishes an organization's pay structure?

A) pay ranges and pay differentials
B) cost control and equity
C) legal requirements and job descriptions
D) individual salaries of its employees
E) job structure and pay level

Pay Structure

The system of organizing and categorizing salaries and wages within an organization, often based on factors like role, experience, and performance levels.

Pay Ranges

A set of compensation levels that define the minimum and maximum amounts of pay an organization is willing to offer for specific positions or job categories.

Pay Differentials

The variations in pay for different jobs or skills within a company or in different geographical locations.

  • Determine and fathom the rules and legislative contexts pertaining to pay arrangements, encompassing policies on comparable worth, incentives for performance, and wage tiers.
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Verified Answer

AH
Alexander HuynhJul 21, 2024
Final Answer :
E
Explanation :
Job structure and pay level are the two main elements that establish an organization's pay structure. Job structure refers to the relative worth of different jobs within an organization and pay level refers to the amount of pay offered for each job. Together, these elements help organizations determine the appropriate pay ranges and pay differentials for their employees. Legal requirements and job descriptions are important considerations in developing a pay structure, but they do not establish it. Similarly, individual salaries of employees are determined within the context of the organization's pay structure, rather than establishing it. Cost control and equity are important goals of a pay structure, but they do not establish it.