Public Sector Compensation: Panacea or Pandora’s Box

Source: Rollie Waters and TL Cox, Public Management, Vol. 93 no. 10, November 2011
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The salaries and benefits of public employees, when compared with the private sector, have always been under a microscope and scrutinized by citizens, elected officials, and the media. Stakeholders are challenging the equity of local government’s pay systems when compared with the private sector. Managers need practical tools in place to ensure that elected officials and staff are following best practices and pay policies that are in the best interest of the constituents served. …This article attempts to highlight key areas for action in order to ensure basic compliance with acceptable compensation practices. Traditional approaches are explained as well as the roles of the manager and elected officials. First, however, it is necessary to understand the basics of a sound compensation system prior to discussing emerging technologies.

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