Compensation trends:
Modern perspectives on pay

Our latest insights on compensation management, data trends, best practices, new research, and tools.

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What is incentive pay?

Incentive pay is a form of compensation employers choose to offer employees as a way to motivate high performance. In other words, incentive pay is separate from base salary in that it is designed to encourage—it is not a mandatory form of payment by th
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Pay-for-performance compensation: What is it and how it works

Pay-for-performance is a compensation model set by the employer. This payment structure is often utilized as an incentive. Incentivizing with performance-based pay is an effective tool to reach revenue goals, company growth metrics, and attract and maintain hi
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What are the laws of holiday pay?

Managing holidays can be a complex matter when figuring out paid time off, determining which holidays are included as vacation time, and how much focused work time you can expect around those key dates. Having a better understanding of holiday laws can help br
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Payscale Peer surpasses 5 million incumbents, and this is just the start

Peer is the industry’s only on-demand, employer reported data network, enabling organizations to access timely HRIS salary data segmented by industry, and delivered as a dynamic, map-based experience in Payfactors.
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Payscale’s 2022 Compensation Best Practices Survey is now open for participation

The largest survey dedication to compensation best practices (CBPR) is now open for participation through the end of December. This survey is appropriate for anyone who manages compensation...
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Non-exempt vs. exempt employees: What’s the difference?

Exempt means exempt from overtime pay. Exempt status is determined by the Fair Labor Standards Act (FLSA) if the employee meets the criteria.
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An HR guide to employee performance reviews

An employee performance review is a formal check-in between employees and their managers or supervisors to evaluate an employee’s performance, including identifying their strengths and weaknesses, giving feedback, and setting future goals for the employee. W
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How to create a compensation strategy for remote work

Payscale recently released research on the State of Remote Work in 2021 finds that 81 percent of organizations don’t have a compensation strategy for remote work. That’s concerning. Remote work has upended traditional workplace dynamics and employees have
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Types of bonuses and when to use them

Bonuses are a beautiful thing. Whether you’re sweetening a job offer, showing appreciation for meeting goals, or sharing company earnings, bonuses can play an important role in attracting and retaining quality employees. However, navigating the various types
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Base salary: what is it, how to calculate, what to offer

A base salary, also known as base pay, is the initial compensation amount or wage before taxes and other deductions.
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Most People Believe They are Underpaid Even When They Aren’t

Payscale’s newly released Fair Pay Impact Report shows that people believe they are underpaid even when they are paid at or above market. In addition, people who believe they are underpaid are 50 percent more likely to seek new opportunities. Fortunately, pa
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What is Severance Pay?

Severance pay is compensation an employer may pay an employee after departing from the company. While severance pay is common and can establish good will among employees, it is not required by law. Severance packages are most commonly offered for layoffs, invo