IRC is changing its compensation plan from a grade system to a band system. Whats the difference between grades and bands?

At the IRC, the difference between grades and bands lies in the salary flexibility offered within each job category. Bands in the new system have broader salary ranges than the old system which helps allow for differences in experience, knowledge, location and performance among the employees whose positions are in that band. Bands also make it easier to compare market data to keep our salary levels competitive. There is no change in the current job growth and/or promotion processes. The bands serve as a position evaluation tool and will not impede an employees ability to grow in a job or be promoted into another one.

How many salary bands are there?

There are ten salary bands in the new compensation system. Band 1 contains top executive positions, and Band 10 is for entry and more junior positions.

What are the differences in the various salary bands?

To see the description of each salary band, click here

How was the salary band for my job determined?

In our first stage of review, the responsibilities of each job were evaluated based on three factors (knowledge & experience, impact, analysis & problem solving), then all IRC positions were evaluated in relation to each other, based on our official job descriptions. Data such as outside market data, the current incumbent and the salary being paid to the current incumbent were not considered in this process.

During the next stage, outside market data were collected and some positions were reassigned based on this information. These changes were reviewed and approved by your vice president. Managers, some supervisors and human resources staff also reviewed the information.

Are there positions in each salary band?

Because of IRC's growth, there are continual changes in job content, so, at any point in time, there may or may not be a position in every salary band.

What are the salary guidelines for each band?

Each salary band contains two salary ranges (one is higher [A] than the other [B]). Depending upon the scope of the responsibilities of each job assigned to that range, each job is then assigned to either A or B. Then, depending upon the IRC location where that position is located, a code of 1, 2 or 3 is assigned. So, when an employee's position is assigned to a band, such as 6A2, that means that the job is in band 6, in the higher salary range (A) of that band and is in geographic region 2. The actual salary ranges could be higher (6A1) or lower (6A3) depending upon the job's actual location.

In the future, your supervisor will discuss your positions salary range with you.

Example Salary Band:

RANGE A			RANGE B
Maximum	Midpoint	Minimum	Maximum	Midpoint	Minimum
125%	Target	75%	125%	Target	75%
$62.500	$50,000	$37,500	$50,000	$40,000	$30,000

How will I find out what salary band I am in?

You will receive a personal letter later this year which will tell you the salary band of your current position.

What are the advantages to employees of moving to the new salary band system?

• The band system is easy to understand allowing employees to better understand how they are compensated.
• Salaries under the new system can be more competitive, matching salaries paid for similar positions outside of the IRC.
• The new salary band structure allows for future salary growth whether or not an employee is promoted to a position in the next higher salary band.
• The band system will be updated every two years or so, ensuring that our employees' salaries remain competitive.

What are the disadvantages to employees of moving to the new salary band system?

Employees whose current salaries are higher than those shown in our market data may receive smaller pay increases in the future.

What are the advantages to the IRC of moving to the new salary band system?

• IRC management at all levels will be confident that they and their staff are being paid a fair and competitive salary.
• The new system will have a single set of salary bands for all IRC employees in Headquarters, Resettlement offices and overseas (other than national staff hired in country), making it easier for employees to transfer from one group to another.
• The transparency of the banding structure will make it easier to assign newly-created positions to salary bands and to explain the system to job applicants.

How will I know if the new compensation system shows I am being paid less or more than is appropriate for my salary band?

You will receive a letter which will inform you of your new salary band. Then, at the time of your next salary review, your supervisor will be informed of your new salary band ranges, at which time you will be able to see where your salary fits.

If it is determined that I am being paid less than appropriate for my salary band, will I receive a salary adjustment?

At the time of our merit increase process, supervisors will review staff salaries in relation to the new salary bands and competitive market survey data. Adjustments may be made at that time.

If it is determined that I am being paid more than is appropriate for my salary band, will my salary be reduced?

No. Employees' SALARIES WILL NOT BE REDUCED as a result of this new compensation program. If an employee is determined to have a salary well above our market pricing data for his/her position, that employee's future salary increases may be limited to some degree.

How will the new salary band system affect my ability to be promoted?

The salary band system will not limit promotions. In fact, the flexibility of the bands facilitates both promotions and salary growth, without requiring that the employee be promoted to a position in the next higher salary band.

How will the new salary band system affect my ability to receive pay increases?

Since the merit increase process and the pay-for-performance process will remain intact, the salary band system will not limit your ability to receive salary increases. In fact, the flexibility of the bands facilitates both promotions and salary growth, since employees won't need to move to another salary grade to get a raise or be promoted.

What if I disagree with my salary band assignment?

An employee who has questions about his/her salary or assigned salary band should discuss that matter directly with his/her supervisor. If the supervisor agrees a change should be considered, the matter should be brought to the attention of the department head and, then, Human Resources.

What salary system do other NGOs use?

While our sister organizations use a variety of different compensation systems, many use a salary band system similar to our new one. As part of our compensation study, we have evaluated a number of compensation systems and determined that salary banding best fits the needs of the IRC.

How often will our market pricing data be updated?

We will be asking our compensation consultants to check the competitiveness of our salaries outside of the IRC every two years or so. When necessary, we will make modifications to the salary band assignments and the ranges of our bands.

If I know the salary of a colleague with a job similar to mine in another organization, can I bring that information to IRC's attention?

The information should be forwarded to Human Resources, along with details such as the name and location of the other organization and a description of your colleague's job duties. Since our survey material contains jobs (similar to IRC's positions), which may pay more or even less than is paid at the IRC, there is no guarantee that your salary will be increased because of this information. We can guarantee, however, that the information will be given serious consideration.

How can I get more information?

There will be employee meetings in the near future where you will be able to ask questions and where all this information will be reviewed. Later, you also will receive a personal letter which will tell you your salary band information.