How will the consultants account for geographical differences in the market?

To adjust for geographic difference in the cost-of-labor between the Pierce County and peer employer locations, Segal uses the cost-of-labor differentials report by the Economic Research Institute (ERI) for each peer location.

It is important to note that the cost-of-labor differentials do not necessarily reflect cost-of-living differences. Cost-of-living differences (which reflect the supply and demand for goods and services) are not necessarily a good predictor of salary levels.  In other words, while the cost of housing (or other goods and services) in Tacoma, WA may differ from the cost of housing in another peer employer’s location by a certain percentage, the prevailing salaries may not differ by the same percentage. For adjusting salaries in a market study such as this one, the cost-of-labor differentials provide a more accurate method of determining whether employers are paying a competitive wage appropriate to a given geographic area.


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1. What is “total compensation”?
2. Why are we doing a classification and compensation study?
3. What is benchmarking?
4. Will all positions be benchmarked?
5. With whom will the jobs be benchmarked to?
6. How will the consultants account for geographical differences in the market?
7. What is the difference between cost of labor and the cost of living?
8. Will the study result in changes in my classification or pay?
9. Will my health benefits change?
10. Isn’t this just a way to save money and pay me less?
11. Why are represented employees included?
12. When was the last time a study like this was done?
13. Are elected officials included in this study?
14. How many job classes do we currently have?
15. How do we currently decide where/how a job is classified?
16. Does the County Council have to approve any changes or is this up to the Executive?
17. How much are we paying for this?
18. I’m a manager. How much of my time will be needed for this?
19. The last time we did a study, we did not implement any of the results. Are we doing all this work just to end up with the same outcome?
20. What jobs will be included in the study?
21. Are probationary employees eligible to fill out a PDQ?