Compensation Glossary

# A B C D E F G H I J K L M N O P Q R S T U V W - Z

Compression

Wage compression occurs when a new hire is paid the same as or more than employees with more seniority. It also occurs when employees are paid more than their supervisors. Often this occurs when the external labor market conflicts with a company's internal wage structure.

To find keyword content within a course, select the course link below:

Course
Page Number
21 - Compensation for Business Leaders
3
Previous

Compressed Work-Weeks

Next

Compulsory Retirement Age / Date

POPULAR BLOGS

POPULAR BLOGS

Discover what ERI can do for you

See how our compensation management solutions can ensure your salary planning strategy is a success.

Schedule a personalized demo

WHITE PAPERS

Top Performing White Papers

National Compensation Forecast April 2026

Read More

Compensation Strategies for Remote Work and Organizational Culture – Fall 2025

Read More

Planning Global Compensation Budgets for 2026 - January 2026

Read More
View All White Papers