How do I set up salary review campaigns?

Before getting started

This article is aimed at administrators who wish to create and set up a salary review campaign in Lucca Compensation. The salary review campaign is a collective, annual, or periodic procedure designed to review and adjust employee remuneration levels within the company. 

Watch this short video for an overview of the feature.

How salary review campaigns work in Lucca Compensation

Salary review campaigns take place in several phases in Lucca Compensation. 

1. Set-up phase: The HR administrator creates, sets up, and launches a campaign.
2. Proposal phase: Compensation request managers make pay rise proposals for the employees in their scope, based on HR recommendations and employee data.
3. Review phase: Supervisors control and adjust the proposals made by the compensation request managers in their scope. They can discuss this with managers by making comments on the proposals, and they can mark increases that they disagree with as "to be justified", and then remove those marks after an agreement has been reached.
4. Validation phase: The HR administrator validates the new fixed remuneration items after checking and modifying them if necessary. This has the effect of locking in the items. Any proposal for a new fixed remuneration item that is still marked as "to be justified" will be excluded from the campaign. Employees for whom information is not filled in are also excluded from the campaign. 
5. Publication phase: The HR administrator publishes the new fixed remuneration items, updating all employees' individual situations at the click of a button. The time between validation and publication allows managers to notify employees before updating their individual situation.   

Setting up a salary review campaign

As an administrator, you have access to the "Salary review" module in Lucca Compensation when you have the "Administer salary review campaigns" permission in your role.

To create a campaign, click on Create a campaign, then define three elements, which will remain modifiable during the rest of the set-up: 

• the campaign title
• the establishments: you can select several establishments if they have the same currency. 
• the types of remuneration: all types of fixed remuneration are available. You can add theoretical variable items as soon as they have been created as fixed remuneration items (for example, a theoretical bonus). Consult this help sheet for more information.

Once you have created your campaign, follow the next four steps to set it up.

1. Population and stakeholders 

This step consists of selecting and locking in the group eligible for this campaign, as adding new employees during the campaign is not authorized.

1.1 - The target population

By default, all employees of the selected establishments are present. You can specify the scope by defining exclusion rules. Exclusion criteria can be by seniority (for example, to exclude all employees with less than six months of seniority), department, occupation category, or user (to exclude employees individually). 

1.2 - Compensation request managers

They propose increases within their scope during the proposal phase. By default, they are the managers of the employees concerned. You can edit this rule to select a department manager, assign a single compensation request manager for everyone, or to enter the data manually for each employee. You can display employees without compensation request managers and fill in their information manually. 

1.3 - The supervisors

During the review phase, they check that the proposals made by the compensation request managers comply with HR and budgetary guidelines. By default, they are the managers of the compensation request managers. By the same token, you can edit this rule to select the department manager or a single compensation request supervisor. You can display compensation request managers without compensation request supervisors to fill in their information manually.

Each step must be validated before proceeding to the next.

2. HR data

Here, you can define which data the managers have access to during campaigns. Some HR data are selected by default.

You can add assessment data from Lucca Performance in order to link salary reviews with performance. Adding an assessment at this level allows the review summary note for each employee to be brought up, thus helping the manager to make their proposal. 

If you don't have Lucca Performance, we invite you to find out more about this solution.

3. Budget

Budget configuration is a two-step process. 

First enter the total increase budget allocated to each type of remuneration, as an amount or as a percentage (conversion is automatic), and validate it. 

The system then calculates a proposed breakdown of the budget into envelopes for each compensation request manager. You can also edit these envelopes manually. If this has the effect of increasing the total budget, this will appear in orange on the screen, but it will not prevent you from moving on to the next stage.

4. Salary review policy 

This area allows you to: 

• define general remuneration limits: minimum or maximum gross annual pay; 
• define increase guidelines: you can select a population according to various criteria and recommend increase percentages for each category. The available criteria are: establishment, department, occupation category, contract type, and also the selected Lucca Performance assessment summary note (we recommend a percentage based on the summary note to link performance and the salary review); 
• describe the principles that define the salary review policy to be followed as part of the campaign. All stakeholders will be able to view this content throughout the campaign. Use the text editor to write content, or import a file as an attachment.  

5. Calendar

The final step is to define the dates for the various phases, although these dates can be modified after the campaign has been launched.  

• Pay rises to be proposed before: this is the end date of the proposal phase for new fixed remuneration items. Compensation request managers must fill in all fields, even if the increase is €0. 
• Pay rises to be reviewed before: this is the end date of the review phase for new fixed remuneration items. Supervisors should check proposals or challenge them with a comment or flag during this phase. 

For these first two phases, stakeholders won't need to validate their choices, as they are automatically saved and phases end automatically on the selected dates.

• Pay rises to be validated by the administrator: this is the date on which the administrator validates, and therefore locks in, all proposals.  

All employees without a proposal, or with a proposal marked as "to be justified", will be excluded from the campaign.

• Pay rises to be published by the administrator: this is the date on which the administrator publishes the new fixed remuneration items in the individual situation of each employee, with one click. 

• Effective date of pay rises: this is the date on which the new fixed remuneration items take effect. This date can be in the past or in the future. 

You are now ready to start your campaign. If compensation request managers or supervisors have any questions, please forward them this help sheet: Participating in a salary review campaign.

Deleting a salary review campaign 

You can delete a salary review campaign if one of the following conditions is met:

• The campaign is still in draft state (not started) 
• Or the campaign has been started, but is empty: all compensation data entered as part of the campaign must be deleted

As an administrator, you can manually delete data entered as part of the campaign.