FACTORS AFFECTING PAY LEVELS WITHIN ORGANIZATIONS
Within most organizations there are defined or generally understood pay levels for jobs. These are usually set out in the form of a pay structure, which may cover the whole organization or groups of related occupations (job families). There may be different structures at various levels, for example senior management, other staff and manual workers. In some organizations, however, the pay system is highly flexible and relatively unstructured. It may, for example, simply consist of individual rates for the various jobs (spot rates), which bear no apparent logical relationship to one another and are determined by management intuitively. Structures for manual workers may also consist of spot rates that are based on negotiations and custom and practice.