Study On LC's Salary System

Compensation is a traditional and important topic,for the enterprise is one of the powerful tools to motivate employees' behavior.In terms of salary incentive practice,the western developed countries have accumulated a very mature and rich theoretical basis and practical,however most Chinese enterprises still inadequate in compensation management.With the rapid development of China's economy during the past 30 years,China has now become the world's second largest economic entity.In the past 30 years,our country walked the road of the industrialization which was hundreds of years for western countries,and also fostered so many excellent enterprises,some of them even achieved globalization,such as HuaWei,Lenovo,Alibaba etc.These excellent enterprises in the past decade have also built scientific compensation management system,which could effectively support the development of enterprise's talent strategy.However,these are just a little benchmarking enterprises,that is to say,the scientific salary system in Chinese enterprises is not common.A well designed salary system is conducive to strengthen the cohesion of the enterprise,is conducive to enterprises' strategy implementation,is conducive to enterprises' external competitiveness and internal equity,is conducive to improve the control of enterprises' labor costs.Company LC is a state-owned IT enterprise,has nearly twenty thousands employees.Although the company's scale is relatively big,the compensation management system is still missing.How to determine or increase an employee's salary?The company is lack of the standard specification,scientific tools and methods.This article analyzes the salary system,which is the core in human resources management.Through the redesign about the company LC's salary system to achieve pay for job grading,pay for market orientation,pay for staff competency and pay for performance.And enhance the internal and external competitive compensation fairness,improve the core employees'job satisfaction and engagement,guarantee the implementation of the development strategy for company LC.