Analyzing Compensation Systems is an integral part of AAP planning. A well-publicized recent development in affirmative action has been the OFCCP's new focus on discrepancies in compensation systems affecting minorities and women, as well as several major class action lawsuits alleging unfair compensation. Given the surge of litigation in this area, employers are particularly well-advised to be proactive in assessing their compliance with guidelines on systematic compensation discrimination. For this reason, HRM includes comprehensive compensation analysis as part of every affirmative action plan we develop. Using an employer's existing computerized data, HRM can conduct confidential analysis of its compensation systems and identify potential areas of concern. In preparation for and during an OFCCP audit, HRM can prepare any additional required analysis and assist in articulating position statements to explain the legitimate, nondiscriminatory basis for the compensation system, and, if necessary, can engage the statisticians and economists necessary to counter allegations of compensation discrimination.
Posted on Sat, September 1, 2012