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Charity/Education Sector Pay Structure
(Anonymous Case Study)
Company Profile
INDUSTRY: Charity/Education
NO. OF EMPLOYEES: 50-100
“Our 3R consultant worked closely with our management team to identify the unique factors driving reward decisions in our organisation. With these in mind, they designed a comprehensive approach to reward including reward principles, career framework, pay structure and pay progression framework which has been welcomed by our staff and supported our goal of pay transparency. We continue to work with 3R to revisit market benchmarks periodically and see our 3R consultant as an extension of our team.”
Challenge
This client had previously engaged us to develop a comprehensive reward framework, including reward principles, pay structure, and job architecture. Their pay policy, which we had helped develop, included a commitment to update pay ranges annually.
With established pay points, the organisation faced potential challenges with affordability when updating ranges to reflect market movements. They needed to balance their commitment to fair pay with budgetary constraints while maintaining the integrity of their reward principles.
Solution
This client returned to us for continuity and consistency in their approach to pay review. Our team of consultants and analysts:
- Reviewed their 2024 data against current market benchmarks
- Analysed how different pay levels had moved since the original framework was established
- Identified where significant market movements had occurred
- Worked collaboratively to find pragmatic solutions when full market alignment wasn’t affordable
- Developed various scenarios to address pay compression issues resulting from minimum wage requirements
- Provided options that respected their affordability principle while maintaining market competitiveness
Our solution involved detailed analysis and modelling to ensure the charity could adhere to their commitments to employees while working within their financial constraints.
Outcome
Through our collaborative approach, we helped this client:
- Understand the risks and choices available to them regarding pay range adjustments
- Make informed decisions about implementing increases across pay points
- Address pay compression challenges caused by increases in minimum wage requirements
- Adhere to their promises to employees regarding regular pay range reviews
- Implement changes that aligned with their budgetary constraints
- Maintain consistency in their approach to reward management
The project reinforced our ongoing relationship with this organisation, demonstrating the value we provide through our understanding of their specific challenges and constraints. By choosing to return to us rather than working directly with data providers, our client ensured consistency in approach and interpretation of market data, allowing them to maintain the integrity of their reward framework while making necessary updates.