Where in the salary band should I place this new hire or promotion?

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    "name": "Where in the salary band should I place this new hire or promotion?",
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    "description": "Determines where within a salary band a new hire or promoted employee should be placed. Consistent band placement protects internal equity, supports pay transparency, and reduces the risk of discriminatory pay outcomes. Use this tool in conjunction with the approved salary band for the role level and the most recent external market data.",
    "mode": "decision",
    "entry": "Q1",
    "tags": [
      "hr",
      "compensation",
      "salary",
      "talent acquisition",
      "total rewards"
    ],
    "image": "https://images.unsplash.com/photo-1579621970563-ebec7560ff3e?w=1200&q=80"
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  "questions": [
    {
      "id": "Q1",
      "text": "How does the candidate's or employee's directly relevant experience compare to the stated requirements of the role?"
    },
    {
      "id": "Q2",
      "text": "Does internal equity analysis support placing this individual at or above the midpoint of the band?"
    },
    {
      "id": "Q3",
      "text": "Is this an external hire (joining from outside the organisation) rather than an internal promotion or lateral transfer?"
    },
    {
      "id": "Q4",
      "text": "Does current external market data from a recognised salary survey (published within the last 18 months) show that the midpoint of this salary band is below the market median for this role?"
    },
    {
      "id": "Q5",
      "text": "Would a market-competitive placement for this candidate still fall within the band maximum — that is, at or below the top of the approved range?"
    }
  ],
  "outcomes": [
    {
      "id": "LOWER_Q",
      "label": "Lower Quartile Placement"
    },
    {
      "id": "MIDPOINT",
      "label": "Midpoint Placement"
    },
    {
      "id": "UPPER_Q",
      "label": "Upper Quartile Placement"
    },
    {
      "id": "ABOVE_BAND",
      "label": "Above Band — Exception Required"
    }
  ],
  "dsl": "dag: Where in the salary band should I place this new hire or promotion?\nversion: 1.0.0\nimage: https://images.unsplash.com/photo-1579621970563-ebec7560ff3e?w=1200&q=80\ndescription: Determines where within a salary band a new hire or promoted employee should be placed. Consistent band placement protects internal equity, supports pay transparency, and reduces the risk of discriminatory pay outcomes. Use this tool in conjunction with the approved salary band for the role level and the most recent external market data.\ntags: hr, compensation, salary, talent acquisition, total rewards\nentry: Q1\n\nQ1: How does the candidate's or employee's directly relevant experience compare to the stated requirements of the role?\n  hint: Evaluate only experience that is directly transferable to this specific role — not total years in the workforce or adjacent experience that would require significant adaptation. A candidate who meets every requirement and brings additional complementary expertise is fully qualified or above. A candidate who meets most but not all requirements, or who is transitioning from an adjacent function, is partially qualified. Use the job description's minimum and preferred criteria as your benchmark and be consistent across all candidates considered for the same role.\n  A: Partially meets requirements (developing or transitional hire) -> Q2\n  B: Fully meets requirements (solid, experienced hire at level) -> Q2\n  C: Significantly exceeds requirements (deep expertise, ready to grow beyond role) -> Q3\n\nQ2: Does internal equity analysis support placing this individual at or above the midpoint of the band?\n  hint: Pull the current compensation data for all employees in the same salary band and job family before answering. Compare the proposed placement to peers with equivalent experience, tenure, and performance ratings. Placing a new hire or promotee above the midpoint when existing employees with comparable or greater contribution sit at or below it creates an equity risk and may generate legal exposure under pay equity legislation. If the equity analysis is borderline or inconclusive, involve the Compensation team before proceeding.\n  yes -> Q3\n  no  -> [LOWER_Q]\n\nQ3: Is this an external hire (joining from outside the organisation) rather than an internal promotion or lateral transfer?\n  hint: External hires often command a modest market premium because they are taking on the risk of a new environment and may be forgoing unvested equity, defined-benefit pension accrual, or other benefits at their current employer. Internal employees promoted into a higher band typically start lower in the new band because they are building capability at the new level and benefit from role continuity, existing relationships, and institutional knowledge. Differentiating between external and internal at this stage is standard practice, but the differential must be documented and capable of withstanding a pay equity challenge.\n  yes -> Q4\n  no  -> [MIDPOINT]\n\nQ4: Does current external market data from a recognised salary survey (published within the last 18 months) show that the midpoint of this salary band is below the market median for this role?\n  hint: Use data from reputable and independently validated sources such as Mercer, Radford/AON, Willis Towers Watson, or credible industry-specific benchmarks. Ensure the market cut matches the correct geography, industry sector, revenue size, and job level. If your band midpoint already sits at or above the market median, placing a new hire in the upper quartile requires a separate, specific business case. If the band itself appears structurally below market, flag this to the Compensation team as a band review issue to be addressed in the next remuneration cycle.\n  yes -> Q5\n  no  -> [MIDPOINT]\n\nQ5: Would a market-competitive placement for this candidate still fall within the band maximum — that is, at or below the top of the approved range?\n  hint: Upper-quartile placements are permissible within the approved band, but a candidate whose market value genuinely exceeds the band maximum requires a formal exception rather than an informal stretch. Before concluding that placement exceeds the band, verify you have applied the correct band for the role level, geography, and job family — band misclassification is a frequent cause of apparent above-band situations. If the band maximum is genuinely below market, this is a structural compensation issue that must be addressed through the formal band review process, not by routinely approving exceptions for individual hires.\n  yes -> [UPPER_Q]\n  no  -> [ABOVE_BAND]\n\n[LOWER_Q]: Lower Quartile Placement\n  color: #4ade80\n  description: Place the individual between the band minimum and the 25th percentile. This placement is appropriate for a developing or transitional hire who is building into the role, or where internal equity constraints prevent a higher initial placement. Document the rationale clearly in the offer approval or promotion paperwork, noting the specific equity and experience factors considered and how they were weighted. Establish a clear development and milestone plan so the employee understands what progression within the band looks like and the expected timeline to reach the midpoint. Schedule a formal compensation review at both the six-month and twelve-month marks to assess progress.\n  code: HR_COMP_01\n\n[MIDPOINT]: Midpoint Placement\n  color: #60a5fa\n  description: Place the individual at or near the midpoint of the salary band. The midpoint represents the fully competent, experienced professional performing at the expected level and serves as the primary anchor for all internal equity comparisons. Document the placement decision with reference to both the internal equity data and external market benchmarks used. For internal promotions, a placement at the midpoint of the new band — or a minimum increase of 10 to 15 percent, whichever is greater — is standard practice; confirm this meets your organisation's promotion increase guidelines before finalising. Communicate the placement clearly to the individual, including their position within the band range and how future progression is assessed.\n  code: HR_COMP_02\n\n[UPPER_Q]: Upper Quartile Placement\n  color: #f97316\n  description: Place the individual between the 75th percentile and the band maximum. This placement is justified where the candidate significantly exceeds the role requirements and current market data confirms the band midpoint is not competitive for this skill set. Obtain the appropriate approval level as specified in your Compensation Authority Matrix — upper quartile placements typically require sign-off from the Compensation team and may also require CHRO or Finance approval depending on role seniority. Document the specific market data reference, the candidate's differentiating qualifications, and a formal internal equity impact assessment. Flag this placement for priority review at the next annual compensation cycle to evaluate whether a band adjustment is needed.\n  code: HR_COMP_03\n\n[ABOVE_BAND]: Above Band — Exception Required\n  color: #ef4444\n  description: The proposed placement exceeds the maximum of the approved salary band and cannot proceed without a formal documented exception. Exceptions of this kind require escalation to the Compensation team, the CHRO, and typically Finance or the Remuneration Committee depending on the seniority and visibility of the role. Before escalating, verify that the correct band has been applied for the role level and geography — band misclassification is a frequent cause of apparent above-band situations and must be ruled out first. If the exception is genuinely warranted, prepare a full business case that includes market data evidence, retention risk assessment, internal equity impact, and a concrete plan to address the underlying band gap in the next remuneration review cycle.\n  code: HR_COMP_04\n"
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