Read the case given below and answer the questions given at the end of the case: Inequitable Salary Levels Compensation Issues at EBC Group AC Chew was the CEO of a 500 employees of EBC Group which isinto plastic moulding. Being a family-run company, EBC Group relies on their own resources to run the plant. The plant has been run as a small medium enterprise under AC Chew for the past 40 years. Nearing retirement, AC Chew decides to sell out to a new owner called Ahmad. Ahmad has a MBA and his last appointment was with a multinational manufacturing company heading the Human Resourcedepartment. Once on board, the 40-year old Ahmad began to find that there were complaints of HR not being up-to-mark in many aspects. In fact the attrition rates of certain departments were a matter of concern. While the operators and lower levels were protected with the collective bargaining by the union, the same cannot be said of the non-unionised employees. From the one-on-one session with the incumbent Head of Human Resources, he was the first to open up on the lower salary he is getting vis- a-vis his counterparts in other departments. The reason he soon verified wasthatthesewere peoplewhomtheAC Chewhas negotiatedthe terms and conditions personally. Further investigation shows that there were other management staff who has a similar predicament as the HR Head. There were non unionised female supervisors who were earning lower than their male counterparts. The fact of the matter is it appears indeed the HR Head is underpaid based on Ahmads experience and exposure to the industry. Certainly the reasons given by the management that women supervisor often have sudden time-offs and not be career-minded are not good reasons to explain the gender pay gap. Ahmad personally feels strongly the wage differential cannot be explained with the reasons given by the management. As Ahmad is fully familiar with the job evaluation techniques, he firmly believed a job evaluation exercise needs to be done for all those who were affected by the wage disparity. He would engage a reputable consultancy to conduct a proper job analysis and job evaluation exercise to do this. Meanwhile, there is a social audit coming. Any non- compliance in the area which smacks of gender discrimination would be disastrous for the company and might even incur legal complications and definitely back pays. While the HR Head is open to an amicable settlement, it may not be as easy to handle. Ahmad is thinking through his options which include the following: 1. Let the matter rest since it has not being brought up before. 2. Increase the salaries of those affected gradually. 3. Increase the salaries of those affected with immediate effect. 4. Get feedback from the supervisors of those affected and settle with them amicably Question 1 With reference to the above case, explain any FIVE (5) ways to design and implement an equitable salary levels internally and externally. (50 marks) Question 2 Looking ahead, recommend FIVE (5) strategies for EBC Group to effectively manage compensation to attract, motivate and retain the employees. (50 marks)