Glossary

ERI Economic Research Institute is pleased to provide an expanded and updated glossary of commonly used compensation terms and formulas for your ongoing reference.

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ERI Data Observations / Counts

ERI's software data is based upon a plethora of original sources, including hundreds of surveys. Some of these surveys do not specify the number of enterprises surveyed or the number of incumbent observations reported. Other surveys do enumerate the number of observations, but their totalities may involve redundant counts. In keeping with our constant insistence on accuracy and statistical precision, ERI declines to estimate how many total job incumbents are represented by the current consensus updated figures we report by industry, location, relevant experience, or size dimension from every possible source. Instead, we provide only the reliability statistics for one single identifiable survey out of the hundreds that we analyze. This source's counts can be proven accurate and precise (even if somewhat conservative, given all the many additional sources we also reference). For the Salary Assessor software, this source is the Bureau of Labor Statistic's OES; for the Executive Compensation Assessor software this is the SEC Edgar list of all ~14,000 registered US corporations. For Canada, we receive no similar reliability statistics from Statistics Canada.

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About ERI

ERI Economic Research Institute was founded over 30 years ago to provide compensation applications for private and public organizations. ERI Economic Research Institute compiles the most robust salary, cost of living, and executive compensation survey data available, with updated market data for more than 1,100 industry sectors. ERI collects salary survey data from internal surveys, third-party salary surveys, and public sources to calculate geographic salary differentials and assist with compensation planning.

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Common Compensation Terms and Formulas

  • Includes the latest updates: Compensable factors, defined benefit plan, job leveling, lead differential, shift differential and more.
  • Salary structure formulas and strategies
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