There are times when paying competitive wages is not enough. The General Manager of a public power utility called me recently. He was having difficulty in both recruiting and retaining electrical engineers and experienced line workers. The feedback he was receiving was that his pay program was out of line with other electrical utilities. I was ultimately engaged to conduct a market analysis of their wages. The results were startling to him and his board—their wages were competitive with other public utilities within their market. How could this be? They found this incredulous.
A new reality has entered the marketplace. In some situations, paying the market rate is insufficient. The unemployment rate is plummeting. It is Continue reading