Position and Compensation Classifications

Identifying the proper classification for each position is an important responsibility of the HR department. Depending on the size of the organization, there are various ways that a classification is decided and put into practice. Larger organizations require specific levels of approval of the classification before implementation, whereas with smaller organizations, the determination is often made by the HR director.

For this discussion, take the role of the HR director in a small organization. The organization is adding two new positions to the workforce, and it is your responsibility to determine the classification and compensation categories for each position. Carefully determine the role of each position and the responsibilities of the position within the organization. Determine the logical classifications for each position. Define and defend each category selected for the position and your reasoning for selecting the options. Support your decisions with resources that defend your choices.

Position 1:

This position is responsible for customer service and responding to the complaints of the consumer. The employee will work a 6-hour day, three days a week, with a rotating shift. This position will report to a supervisor and will have no direct reports.

Position 2:

This position is responsible for all accounts payable and accounts receivable. The employee enters all information into a data system and develops monthly reports for the CFO of the organization. This position has four direct reports that perform a variety of accounting duties. This position works an eight-plus-hour-a-day schedule, five-plus days a week, depending on need.