In this lesson, you will explore the key elements of compensation management and its importance in human resource strategy. The lesson will define the various factors influencing compensation management, like market competitiveness, budget, job value, and employee performance. You will learn about pay-related mandate laws, including minimum wage and overtime pay, ensuring fair compensation practices. We'll cover various pay strategies and how organizations use these strategies to motivate and retain employees. You will also learn the purpose of a wage survey to help organizations set competitive packages. Through this lesson, you will explore the complexities of designing effective compensation systems.