How do we create and manage salary structures?

When paying salaries to employees, companies use a salary structure to ensure fairness and compliance in compensation. It ensures pay parity between employees working in the same role and position. In Zappyhire, you can create the salary structures followed by your company for different job levels. Only users with an Administrator role is allowed to create salary structures in Zappyhire.

To add salary structure, 

Step 1: Go to Settings > Recruitment > Salary.

Step 2: Click on create new salary structure option.

To create a new salary structure,

Step 1: Choose No for the question “Would you like to reuse existing salary structure ?”

Step 2: Enter salary type and salary level. Salary types can be With ESI, Without ESI, Minimum wage, etc.

Step 3: Click on Start creating the salary structure.

A table will be created with columns Salary Component, Monthly Amount, and Annual Amount.

Step 4: Click on +Add Section to add the components

Step 5: Enter the component in the field and click on +Add Component.

A panel will open to add the component details

Step 6: Enter the component name, and description, and select the component type from the list. The value of a component can be calculated on a monthly basis, yearly basis, or both.

Step 7: Before saving the component details, check the check box at the bottom to hide this component in the candidate’s offer letter. 

Step 8: Click on Save to save the component details.

Step 9: According to the salary type you selected, fields to enter the value will appear below the component. The value type can be a Flat amount, User entered value, or formula. 

Flat amount: A flat amount means that all employees in a certain position are paid the same salary, regardless of their experience or skill level.

User entered value: User entered value can be any value the user wishes to enter. The value for this field can be given at the time of drafting the offer letter.

Formula: You can select the type Formula and click on the field to create your own formula to calculate the component value. 

Step 10: Repeat steps 5 to 9  to add more components. You can also edit a component by clicking on the edit sign at the right end of each component.

Step 11: Repeat steps 4 to 10 to add more sections

Step 12: Once you have added the salary structure, click on Save to save the details.

To reuse an existing salary structure,

Step 1: Choose Yes for the question “Would you like to reuse existing salary structure ?”

Step 2: Select the salary type that you want to reuse and click on Fetch Details.

Step 3: All details of the selected salary structure will be displayed. You can edit or modify the salary details.

Step 4: Once you have all the details you want, click on Save to save the salary structure.

You can select the saved salary structure for a candidate before drafting the offer letter, from the candidate details page.