Final answer:
To build a base pay compensation structure that balances internal equity and market competitiveness, conduct job evaluations and research market salaries to determine competitive pay rates. Consider non-monetary benefits as part of the total compensation package.
Step-by-step explanation:
To create a base pay compensation structure that integrates both job evaluation and market pricing techniques, you would first conduct a job evaluation to determine the relative value of each job within your organization. This process takes into account factors such as experience, education, and skill levels required for each position. Then, you would employ market pricing by researching comparable salaries in the labor market using tools like salary.com to ensure your salary ranges are competitive. It's important to consider not just base pay but also benefits like health insurance, vacation pay, and other perks, which can equate to roughly a quarter of total compensation.
When negotiating salaries, always start with a higher salary rate but be prepared for flexibility. You should back your proposed salary range with data from your research and consider the full scope of compensation, including benefits. Remember to confirm offers and convey appreciation professionally through written communication.