What is the salary system?

Salary system refers to the internal management system of employees' wages and benefits, covering the structure, level and distribution mode of salary. The design of salary system should ensure fairness, rationality and operability, meet the economic needs of employees, motivate employees to give full play to their abilities, and be consistent with the strategic objectives of enterprises.

The salary system usually includes the following main aspects:

1. salary structure: salary structure refers to dividing different jobs and grades into different salary grades and grades. It usually determines different salary levels according to the job content, difficulty and value of the post, so as to establish reasonable salary differentiation within the organization.

2. Salary level: Salary level refers to the salary level of different positions and levels, that is, the wages and benefits that employees get in specific positions. The determination of salary level can comprehensively consider the factors such as employees' work experience, skill level, performance and market competitiveness.

3. Salary distribution method: Salary distribution method involves specific methods and mechanisms for distributing salary to employees. This may include basic salary, performance bonus, allowance, welfare and equity incentive. The salary distribution method should be combined with the organization's performance management system to motivate employees to achieve the organization's goals and improve work performance.

4. Salary management policies and procedures: Salary management policies and procedures refer to the provisions and procedures for formulating and implementing the salary system. This includes the decision-making basis of salary adjustment, salary adjustment cycle, performance appraisal and reward system. Good salary management policies and procedures help to ensure fair, transparent and sustainable development of salary.