Reason why Some of Your Colleagues Earn More Than You

Posted on Wed 02nd May, 2012 - www.hotnigerianjobs.com --- (2 comments)

A salary varies and not just because of qualifications. When Parliament heard there is a Permanent Secretary who earns more than others, including his boss, the matter raised debate on fundamental issues in human resources management. Whereas qualification and experience can justify a big salary, the ability for one to negotiate is also critical.
"There are two major factors that play a big role in how much a person earns. Chief among them is the profession," says Mr Leonard Makoka, a management consultant. For instance, if you are the best physics teacher, you will probably earn less than six-figure salary. But a person with a similar qualification but working in the private sector or a multinational could earn a six-figure salary. However, if teaching fulfills you, then you may not want a big salary and you would not want to increase your skills.

"High income earners continuously seek to improve their skills through learning and training," Makoka says. Such employees work hard though that is not a guarantee for a big salary. They are flexible and adaptable, maintain a good social network, and are self-confident.

A second often-overlooked factor is luck. "Luck plays a critical role in how much a person is paid," Makoka says. You may possess the requisite qualifications, but if there is no opportunity or luck, papers may not be of much help. Many people earn six-figure salaries in most careers because they have proved to be better than others professionally. Such workers are good at negotiating for high pay based on experience and past performance.

For instance, a Permanent Secretary, who aroused debate in Parliament, was highly paid because he was head hunted from an international organization and had special competences. Another Permanent Secretary negotiated for a big salary when he left a bank to join the Government.

This is where the difference lies between those who earn higher than others, though they may be in the same grade. An often-overlooked explanation is that employees may share similar salary scales and job groups, their salaries may not necessarily be the same. But it does not imply that one is being discriminated against.

Some new employees may earn more than those in employment depending on the new skills they may bring on board. Membership to a trade union may determine high or low pay for others. However, when higher paid employees interfere with performance of others, it could lead to a demoralized workforce.

"Management should be at the forefront of explaining the differences wherever the need arises," the consultant says. To avoid disaffection, one should not compare their pay with others because they will always be greater or lesser persons.