By Ross Vera, Pride Institute consultant
As Pride Institute consultants, we continually encounter practices that have one or more employees whose pay significantly exceeds the market value for his or her position. This is often the result of decades of successive raises, or even a relatively short growth run in the context of the Pride Compensation Model.
As trusted advisors and key strategists we stand by our clients’ choices as business owners to deviate from some practice management approaches, but in some cases they feel out of control when it comes to paying their team members. In order to protect both the employee and business, it is helpful to delineate specific pay ranges for the positions within a practice. This allows the business owner an external and objective reference point to substantiate limits on hourly or annual pay rates. This does not mean that a valued employee will be denied financial rewards for important contributions to the practice. It simply means that pay will remain commensurate to the level of qualification for each employee.
Defining a range is not always easy. Many local dental societies have some form of suggested pay rates, and some dental accounting firms provide data as a value added service. If neither of those options is available, then request ranges from multiple local colleagues and use Salary.com, which provides geographically specific ranges.
Finally, employers should state the pay range in each job description and review with employees upon hiring. This will communicate what is possible and not possible in a practice at the beginning of the relationship, which is the best way to prepare for a great relationship!
The first principle of the Pride Compensation Model is that pay for a position is competitive with the local market. It is the key to assuring that an employer violates neither the employee nor the business.
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PAST TUESDAY TIPS:
Stop the cancellations and no shows
The out-of-network blues for the dental practice
Your customer service is the key to success
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