At Work Friendly, we know compensation isn’t just about numbers, it’s about people, strategy, and building a system that supports both business goals and employee needs. To shed some light on what goes into building or refining a compensation philosophy, we sat down with Jess Young, one of our Work Friendly People Experts, who has over a decade of experience guiding organizations through complex people projects.
Jess has worked with Fortune 500s and fast-growing start-ups alike, helping them align pay structures with their values, compliance requirements, and growth goals. In this Q&A, she breaks down the process, from first questions to final rollouts.
Q: What’s one of the first steps you take when exploring a compensation philosophy or analysis project?
A: The first thing we dig into is the “why.” Why are you exploring compensation right now? Are you experiencing turnover? Looking to level-set? Trying to identify cost savings? Understanding the motivation shapes the rest of the project. We also ask if you want to lag, match, or lead the market based on the data we’ll be reviewing. That decision helps us frame potential outcomes and drive other aspects of the analysis.
Q: What are some other factors clients should be aware of when building their project scope?
A: Budget is a big one. There’s an investment required to procure reliable compensation data, and while there are cost-effective options, limiting this step can reduce accuracy. We want to help clients understand the value of investing in strong data because it ultimately makes their strategy more effective.
Q: How can clients best support the process?
A: Data transparency is critical. We need access to HR, people, and compensation data to understand where your current workforce sits and where there are opportunities for growth. The fuller the picture, the stronger the analysis.
Another helpful piece is ensuring job descriptions are accurate and up to date. If they don’t exist, or if they need a refresh, it can slow down the process. Ideally, compensation strategy is paired with clean, current job descriptions.
Q: How does Work Friendly drive the project and process?
A: We take on the heavy lift—about 80% is on us, 20% is on you. Our team procures the data, runs the analysis, and develops recommendations. We’ll then ask clients to review, validate, and provide input so we can tailor the outcomes.
For example, when building salary ranges, we’ll explore questions like: Should there be exceptions? Do certain divisions need to follow a unique philosophy? That’s where client input is essential—we can’t (and shouldn’t) do this in a vacuum.
Q: What does the average project timeline look like?
A: It really depends on a few variables: how readily available data is, whether job descriptions are updated, company size, the number of stakeholders involved, and geographic footprint. If you’re operating in multiple states, we may create location-based pay ranges to stay competitive.
That said, we always work toward the client’s target end date and remain transparent about what the ideal process looks like.
Q: Why should companies pursue a compensation strategy project?
A: At the end of the day, people work for a living. Pay is a primary motivator, and compensation is usually a company’s largest operating cost. Understanding whether you’re paying competitively not only impacts retention, but also strengthens your talent strategy overall.
It’s smart to revisit compensation regularly, especially during major economic shifts. As a best practice, every two years is a good cadence.
Q: What makes Work Friendly different as an HR consultancy and partner?
A: We always put the client’s “why” at the center. From there, we create a plan that includes change management, manager training, FAQs, and discussion guides.
Because compensation impacts everyone differently, we partner with leadership at every level to prepare for difficult conversations, understand motivations, and design custom messaging. This ensures the rollout is smooth, consistent, and meaningful across the organization.
Q: Pay is a sensitive topic. What steps does Work Friendly take to protect clients and their data?
A: We take privacy incredibly seriously. We work within client-provided systems, often using client-issued laptops, and our consultants complete the same security training required of employees. Protecting sensitive data is non-negotiable—we hold ourselves to the highest standard of client confidentiality.
Meet the Expert: Jess Young
Work Friendly People Expert, Jess Young, brings over a decade of experience helping businesses create strategic and compliant people practices. She’s worked with both Fortune 500s and fast-growing start-ups, and she knows how to build culture and belonging while balancing compliance and strategy. Whether optimizing existing systems or building programs from scratch, Jess thrives on helping clients design people programs that actually work.
