In your opinion, what are some solutions to wage compression (i.e., tenured wages are equal to or lesser than new hires)?
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no titlea year ago
We handle our wage compression the same way, by proactively matching market increases with our current employees, unless there are known performance issues. Our salaries have also been publicly visible as a government agency, so we wouldn't be able to hide low pay if we wanted to.
Regular review of your current employee wage situation. After all if they're paid less than the market you'll lose them. Recognise that if you do need to pay more to bring in someone from outside then you need to have a really good reason for their salary to be markedly different - if this isn't the case then it's important, I think, to do something about the internal salaries at the next opportunity.