1 What is Advanced Compensation in Workday?

Compensation or Advanced compensation cycle is the review event in Workday, launched for a certain length of time to review, recommend, as well as award compensation changes, stock grants, and bonus payments. Most organizations refer to these activities as their compensation cycle.

2 What are the business benefits of advanced compensation?

Save time and increase consistency by automatically populating compensation values in business processes like Offer, Hire, and compensation reviews.

• Eliminate time-consuming and error-prone manual maintenance o static worker lists. Static lists are often based on worker attributes, so programmatically targeting the attributes is more direct and flexible.
• Make it easier to meet regulatory or business requirements.

3 What is the difference between default compensation and compensation defaulting?

Default compensation refers to the compensation attributes configured on a position. Workday automatically populates fields when filling a position or a job from default compensation if it’s configured on the position.

Compensation defaulting simply refers to how Workday populates compensation values.

4 Why doesn’t Workday default compensation in the Request Compensation Change task?

The Request Compensation Change task is for:

• Proposing a change to existing compensation for an employee, not to initially determine it.
• A single-purpose compensation change.

Workday doesn’t run eligibility rules at initiation to populate plans in the Proposed column of the transaction. You can view the eligible plans when proposing compensation using the By Compensation Package and Rule or By Compensation Rule options.

5 What is the compensation matrix?

A compensation matrix is a table that helps you determine merit increases, bonus targets, or stock grants for employees. You can build a matrix with:

• Rating scales.
• Potential rating.
• Compa-ratio.
• Retention ratings.
• Pay range segments.