What advice do you have about asking for an assessment of equity evaluation on my next performance review? Is it the new thing now?
My friend claims she asked for one and discovered she was being paid 15% less than other nurses with her same qualifications. She strongly requested parity, and she got it. So what say you?
Wants Pay Equity
Dear Donna replies:
Dear Wants Pay Equity,
For this question I consulted human resource specialist Fred DiCostanzo, RN, MA. Here’s what he had to say:
“As part of creating an effective compensation system, employers should assure compensation reflects internal, external and individual equity.
Internal equity refers to a comparison between similar employees within the same organization; external equity addresses the comparison between similar employees in competing organizations; and individual equity is the concept that each employee is paid according to his/her own value to the organization. A good human resources department constantly monitors these variables and makes the adjustments necessary to maintain employee satisfaction and organizational competitiveness.
“When your friend asked for an equity evaluation, was she referring to internal equity? Compensation systems must be free of discriminatory practice and administered according to the organization’s policies. Maybe the employer acted to correct some discrepancy in the internal compensation system that was brought to light by your friend’s complaint. If it was an issue of external or individual equity, I suspect that the employer may be acting out of concern that an irreplaceable employee might be lured away by some competitor. I have never known an employer to respond to a complaint of external inequity from one individual nurse in the rank and file.
“It never hurts to ask an employer to evaluate internal equity. More than likely, nothing will come of it unless the employee has evidence of some inequity, or the employer perceives that an internal equity problem exists.
Complaints of external equity problems usually carry more weight when the employee has some leverage (i.e. unique skills, popularity, etc.).”