Regression Analysis Used in Compensation Administration

This exercise is available to Assessor subscribers only.

Now it's your turn to solve a real-life problem!

If you have a subscription to ERI's Salary Assessor (SA), analyze the following problem:

Problem Statement

You are planning salary increases for July 1, 2026. Find the correct pay level for Jane Smigelski, a CAD/CAM Design Drafter for Rocky Mountain Construction, Inc., that has $50 million in revenue and is located in Boulder, Colorado. She has been in this position for 9 years and your company would like to pay at the 70th percentile to remain competitive. (This company has an eSIC code of 1500. Also, check “include revenue in analysis of lower-level jobs”)

Memory Jogger

Using ERI’s Salary Assessor software, you input these variables into its compensation regression analyses and find that her base salary should be:

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