Week 7: Discussion: Chapter 8 Designing Pay Levels & Pay Mix
1.Minimum-wage changes
Explain how an increase in minimum wage could affect employees who already earn above minimum wage. Consider pay differences, employee expectations, morale, and the organization’s payroll costs.
- Expatriate compensation
Under the balance-sheet approach, expatriate pay often reflects differences in living costs between countries.
- Why might this approach resemble a traditional Japanese pay system?
- What are its advantages and disadvantages for the employee and employer?
- Do you think this is a fair way to compensate expatriates? Why or why not?
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