Back to Use cases
Monitor pay compression issues
Identify and track situations where pay differences between experience levels or tenure become too small

HRIS and Payroll

Compensation Intelligence & Equity

Models & Fields
Related HR Tools
1. Compensation Analysis Tools 2. Retention Management Systems 3. Pay Structure Management 4. HR Risk Management Platforms 5. Employee Relations Software
  1. Setting Up Your Data Foundation

First things first - let's get your data pipeline flowing smoothly. We'll use Bindbee's HRIS endpoints to create a continuous stream of compensation intelligence:

Copy
Start with employee tenure:
GET /employee → capture start_date, department
                 (This is your baseline for experience tracking)

Layer in compensation history:
GET /compensation → track pay_rate over time
                    (The heart of your compression analysis)

Add career progression context:
GET /employment → monitor effective_date, job_title changes
                  (Critical for understanding pay evolution)

Validate with actual payments:
GET /employee-payroll-run → verify gross_pay implementation
                           (Your reality check against planned compensation)

Pro Tip: Don't just collect this data - create relationships between these data points. When a new hire's compensation record enters the system, your application should automatically compare it against existing employee data within similar roles and experience levels.

  1. Building Your Compression Detection Engine

Here's where things get interesting! Your system needs to be smart enough to understand the nuanced relationship between experience and compensation. Think of it like a financial health monitor for your organization's salary structure.

Key Implementation Components:

  • Create tenure brackets using hris_employee.start_date
  • Calculate compensation ratios between experience levels
  • Monitor new hire compensation against veteran employee pay rates

Here's a clever trick: Instead of just comparing absolute numbers, build ratio-based alerts. For example:

Copy
If (new_hire_salary / experienced_employee_salary) > 0.9
AND experience_gap > 2 years
→ Trigger compression alert
  1. Real-Time Monitoring That Actually Works

This isn't just about periodic checks - it's about continuous vigilance. Your system should be actively watching for compression indicators:

Set up your webhook listeners to monitor:

  • New hire compensation entries
  • Changes to existing employee pay rates
  • Role transitions that might impact pay equity

But here's the key: Don't just collect these events - analyze them in context. When a new hire's compensation is set, your system should immediately:

  • Compare it to similar roles
  • Check against experienced employee pay rates
  • Evaluate the impact on overall compensation structure
  1. Making It Actually Useful

Remember: The best detection system in the world is useless if it doesn't help solve problems. Your system should provide:

  • Clear visualization of compression issues
  • Actionable recommendations for resolution
  • Predictive alerts for potential future compression

Think of each alert as telling a story: "Here's what we found, here's why it matters, and here's what you might want to do about it."

Related Use cases