What does a Compensation Manager do?
Published 3 min read
A compensation manager is responsible for developing, implementing, and administering compensation programs that are designed to attract, retain, and motivate employees. They may also be responsible for conducting job evaluations and conducting market surveys to ensure that the organization's compensation programs are competitive.
Compensation Manager job duties include:
- Research and analyze data to prepare reports on compensation
- Develop and administer compensation programs
- Oversee the administration of employee benefits programs
- Conduct salary surveys and analyze data to determine competitive wage rates
- Assist in the development of job descriptions and job evaluations
- Recommend changes to employee compensation programs
- Prepare and present reports on compensation issues to senior management
- Work with human resources staff to develop and administer employee benefit programs
- Manage the budget for the compensation and benefits programs
Compensation Manager Job Requirements
A Compensation Manager typically needs a bachelor's degree in human resources, business administration, or a related field. Certification as a Certified Compensation Professional (CCP) is preferred. A Compensation Manager should have at least five years of experience in human resources, with compensation experience preferred.
Compensation Manager Skills
- Analytical skills
- Profit and loss analysis
- Financial analysis
- Sarbanes-Oxley compliance
- Incentive programs
- Benefits administration
- Employee relations
- Labor relations
How to become a Compensation Manager
Compensation managers are responsible for developing, implementing, and administering compensation programs that support an organization's business objectives. They work with senior management to develop pay strategies that are aligned with the organization's overall business strategy. In addition, compensation managers develop and oversee the implementation of pay policies and procedures, and they conduct job evaluations to determine appropriate pay levels for positions.
To become a compensation manager, you will need at least a bachelor's degree in human resources, business administration, or a related field. In addition, you should have several years of experience working in human resources or a related field. Strong analytical, communication, and interpersonal skills are also essential for success in this role.
Related: Compensation Manager Resume Example