This article gives you an overview of the Compensation Management app, which is an all-in-one, management solution that can be used by anyone in your company depending on the access rights you grant them. This app allows you to run salary reviews efficiently and at scale. You can both set up and run salary reviews across your entire organization, and easily update your employees' salaries.
If you are interested in getting access to the Compensation Management app, you can request further information and get individual consultation from our Customer Growth Team.
What are the benefits of Compensation Management?
Easy set up of salary review cycles, including eligible employees and budgets.
Simplified process, where supervisors propose and submit salary changes for their reports.
Approval of salary change proposals by their supervisor(s) according to the OrgChart hierarchy.
Overview for Administrators of what salary changes have been approved, and how they compare to the available budget.
Automatic synchronization and update of all approved salary changes to the relevant employee profiles in Personio.
No need for manual import or export of salary data, thus reducing data privacy risks.
Granular access rights setting to the Compensation Management app.
The Compensation Management journey
Depending on your role, your use of Compensation Management on a daily basis will be different. The following table gives an overview of the different role's involvement in the Compensation Management journey:
|Supervisor with only direct reports
|Supervisor with both direct and indirect reports
|Get access to the Compensation area
|Gets access to the Compensation area (from the main Personio Admin), and provides access to dedicated colleagues to enable them to manage and run a Compensation Review Cycle.
Set up a
|Creates a Compensation Review Cycle and defines eligible employees, as well as a budget for the cycle.
Compensation Review Cycle
Gets an overview of salary proposals for all eligible employees.
Gets an allocated budget and can propose salary increases for their eligible, direct reports’ salaries.
Gets an allocated budget and:
Can propose salary increases for their eligible, direct (and indirect) reports’ salaries.
Can review salary proposals submitted by supervisors in the hierarchy below them.
|Locks all proposals, removes all edit access for supervisors, and allows to automatically update all the new salaries to the employees’ Salary tab.
|Dedicated Help Center article
Set up granular access rights
By default, the main Personio Administrator within your company will be able to grant access to the Compensation area to other Administrators and employees who will be responsible for compensation management within your organization.
Employees with editing rights to the Compensation area will be able to create, publish and manage Compensation Review Cycles, as well as see eligible employees' salary information. They will also be able to close and complete a Compensation Review Cycle, and update employees' salaries accordingly.
Supervisors, whose employees are eligible for a salary increase in a given cycle, will automatically be provided access to their respective Worksheet, which will include their reports' salary data.
Set up a Compensation Review Cycle
As an Administrator, you can set up and run a Compensation Review Cycle via the Salary Cycle Builder. Simply select all eligible employees, choose a currency, and define the budget for the cycle. This allows all the supervisors within your organization to easily review and suggest salary changes to their reports' salaries, without the need for spreadsheets and data imports or exports.
Enable supervisors to propose salary changes across at scale
Supervisors within your organization can easily propose salary increases by a currency amount ($) or a percentage value (%) for both their direct and indirect reports via their Worksheets, and see their budget updates in real-time.
Easily approve and sign-off other supervisor proposals
Supervisors with both direct and indirect reports are also able to review and approve other supervisors' salary change proposals (hierarchical approval flow based on the Personio OrgChart), and compare them against the organization's budget. This removes endless back-and-forth with approvers, as well as manual aggregation of data from many different spreadsheets.
Update all employee salaries with a click of a button
As an Administrator, you can end the Compensation Review Cycle with confidence, knowing everything has been reviewed and approved. Once ready, update the employees' salaries to reflect the new salaries in the employee profiles' Salary tab immediately.
As we will add further features to the Compensation Management app during the General Availability Phase, we already want to provide an idea of what is still to come:
- Cycle manager & viewer access rights
- Job entity
- Reward confirmation
- Enable adding salary bands
As we are still developing further features for the Compensation Management app, we encourage you to provide feedback on existing and future functionalities using this form.