Final answer:
When the compa-ratio exceeds 1.00, it indicates that an employee's salary is higher than the market rate for their job position.
Step-by-step explanation:
When the compa-ratio is greater than 1.00, it means that an individual's salary is above the market rate for their position. The compa-ratio is calculated by dividing the actual salary of an employee by the midpoint of the salary range for their position in the market. A ratio of 1.00 indicates that the employee's salary is exactly at the market midpoint, while a ratio higher than 1.00 signifies that the salary is above the market norm, which could indicate the employee is highly valued or in a competitive market. Conversely, a compa-ratio less than 1.00 would suggest that the employee is being paid less than the market rate.