Benefits of salary benchmarking

One of the challenges of setting the remuneration package of senior executives is making sure that the compensation you are offering is in line with the rest of the market.

However, finding out what others in your industry are paying their senior directors can be a challenge in itself. For some firms, salary benchmarking could be the answer.

Getting the remuneration package right

It is crucial to set the remuneration package at the right level. Pay too little and you could lose your executive to a higher paying rival. Pay too much and your shareholders may question whether they are getting value for money. But putting a number on the value of a senior director is not without its complications. For a start, at the most senior level – where there are simply fewer roles to compare – the information may not be widely available or may be time-consuming to interpret.

One of the challenges of setting the remuneration package of senior executives is making sure that the compensation you are offering is in line with the rest of the market.

Gaining access to salary information

For PLCs, much of this information is available publicly in companies’ annual reports. But organisations may not have the required resources to analyse the data in the most useful way. Enlisting the services of a third party, such as Robert Walters, can save time and effort and add value.

The benefits of salary

Salary benchmarking compares the total compensation package, including basic salary, cash bonus, share bonus, long term incentive plans (LTIPs) and pension, with those of executives in similar organisations. The data can be split by sector, revenue and/or business size to help you get an accurate picture of how your remuneration levels compare.

Download our latest salary survey here

For more information, please contact:

Jason Grundy, Country Manager (Middle East)
jason.grundy@robertwalters.com
+971 4 8180 102