Omar Jimenez· Head of Reward, Ravenna Chemicals
Posted in Sydney Chapter ·
With the guarantee rate now at 12 percent we are rewriting our total rewards statements, and the old question is back: do we quote packages inclusive or exclusive of super? About 60 percent of our 2,400 staff are on total fixed remuneration contracts, where each rise in the rate came out of take-home pay unless we chose to absorb it.
We absorbed the last two steps, at a cost of roughly 1.1 million dollars a year. I want the new statement to show that without it reading like self-congratulation. I am also unsure how to present super being paid with each pay cycle, as we understand the change. How have others laid this out?
1 helpful · 3 replies · 8 views
Samir DelaneyCBS, CEP
Senior Compensation Analyst, Silverline Media
We moved everyone to base plus super in 2023 for exactly this reason. It cost about 0.5 percent of payroll to convert the inclusive contracts fairly, and since then a rate change is plainly an employer cost and never a pay cut. If you have the appetite for a contract change, I would do it before redesigning the statement.
Oscar JansenCEP, CBS
Benefits Manager, Copperfield Mining
HR Business Partner, Bellwether Consulting
I would leave the absorbed increases off the statement altogether. We included a line saying the company had funded the rate rise, and the feedback was that it sounded as if we wanted thanks for following the law. A short note from the people director in the covering email did the same job with a better tone.
