article thumbnail

The Compehensive Dictionary of HR Terms To Know [In 2024]

AIHR

Compa ratio Compa ratio , also known as a comparative ratio, is a metric that compares an individual’s or group’s salary to the midpoint of a defined salary range. HR term example: “The HR department analyzed the compa ratio to assess the fairness of our salary distributions.” ” 10. ” 15. ” 17.

COMPAS 113
article thumbnail

A Guide to Compensation Analysis

AIHR

It was a fair comparison because of the size and geographical spread of both organizations. If you need a snapshot to understand the cost per employee, you may conduct a “Headcount analysis” to provide an accurate picture of staffing levels and compensation per employee. The result will be a percentage. A final word.

Insiders

Sign Up for our Newsletter

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

article thumbnail

A Comprehensive Guide to the Compa Ratio

AIHR

In its original use, compa ratio (or comp ratio, or compensation ratio) is a simple formula designed to compare an individual’s actual salary to the midpoint of a defined salary range. For example, you could use group compa ratio and other data to compare salaries in job groups to other organizations to evaluate external competitiveness.

COMPAS 111
article thumbnail

The 100 HR Indicators Every Manager Needs to Know

EmployeeConnect

Recruitment #5. 4 – Recruitment Indicators Average cost per hire: measures the average amount spent to recruit a new employee. Average number of days to hire: the average amount of time required (number of calendar days) to fill an open vacancy. Demographic #2. Organisational Structure #3. Productivity #4.

COMPAS 100
article thumbnail

What Is Salary Range Penetration? Definition, Use, and Examples

AIHR

Let’s have a closer look at this metric and find out how HR can enable managers to use salary range penetration in their hiring, salary raise, and promotion decisions. It gives you very similar information to the compa ratio metric. In compa ratio, it’s simply the salary divided by the salary range midpoint.

COMPAS 98
article thumbnail

The AI adoption gap: Why 78% of law firms are wary of artificial intelligence

Embroker

The Correctional Offender Management Profiling for Alternative Sanctions (COMPAS), an algorithm some U.S. AI biases can also affect hiring practices, resulting in law firms losing out on recruiting new talented individuals, which, given the ongoing talent shortage in the legal industry, could have a significant impact.

article thumbnail

Employee Compensation: Everything you Need to Know

Astron Solutions

As an HR leader for your organization, you know that employee compensation is not just something you determine when you hire a new team member and then forget about. In fact, the performance rating taken in tandem with an employee’s compa-ratio reveals a fuller picture. What is Compa-ratio? 875 x 100 = 87.5% 958 x 100 = 95.8%

COMPAS 59