One of the keys to achieving the objectives set by an organization is to ensure its human resource management is consistent with its defined strategy. Compensation is one of the main tools available to business organizations for attracting talent and enhancing employee performance.
The Garrigues Human Capital Services (HCS) practice boasts a team of lawyers, economists and consultants who advise businesses on the organization and compensation of human resources. We go beyond traditional compensation and organization consulting, providing a comprehensive service covering strategic and design implications that includes specific advice in relation to corporate human resources.
We assist numerous financial institutions in adapting their compensation policies to the changing regulatory landscape. We are also proud to advise the appointments and compensation committees of the boards of many listed companies.
Garrigues HCS is also the driving force behind the HR Directors’ Forum which brings together executives from a large array of companies with a view to sharing and proposing solutions for the main HR organization and compensation issues.
Design and implementation of compensation systems
- Determining the market competitiveness of compensation models.
- Analysis of internal fairness among the various groups.
- Assessment of compensation models and definition of potential adjustments.
- Repercussions of implementing or modifying compensation models.
- Policies to manage the compensation offered to individual employees over the course of their career.
Compensation and benefits
- Definition and implementation of target-based variable compensation systems:: designing the architecture of short-term variable compensation systems and establishing their characteristics and operating rules. Defining targets linked to receipt of variable compensation to ensure internal consistency and alignment with the company’s general objectives. Building tools to monitor target fulfillment.
- Implementation of medium-term cash and stock-based incentive systems:design and implementation of medium-term incentive plans.
- Implementation of retirement compensation systems:end-to-end design and implementation.
- Implementation of compensation systems that foster the rotation of management teams as part of professional career plans.
- Implementation of flexible compensation systems: design and exploration of alternatives. Preparation of benefits communication plans and creation of the necessary system management tools.
Compensation and corporate governance
- Design of board compensation models in relation to compensation policies and alignment with the business strategy.
- Ongoing advice to boards of directors and to appointments and compensation committees.
- Specific advice on compensation in regulated sectors, including advice to the governing bodies of credit institutions, investment services firms, insurers and managing entities.
- Support in the design and implementation of directors’ compensation policies at listed and unlisted companies.
- Assistance in preparing annual compensation reports in relation to directors and professionals whose activities may have an impact on the entity’s risk profile.
Advice on compensation in M&A deals
- Design and implementation of compensation models linked to divestment (ratchet bonus and management incentive packages).
- Advice to shareholders and/or management teams on transactions involving international groups, family businesses or private equity funds.
- Review of compensation models for managers at private equity managers.
- Analysis, design and implementation of compensation models for startups.
International HR management
- Organizational, tax and legal matters relating to expatriate workers.
- Application of tax incentives for international mobility.
Employee and management development
- Evaluation of HR policies, integration and team planning by size and competency profile. Communications management. Assessment and diagnosis of working environment.
- Management positions: appraisal of competencies, development plans, coaching and critical analysis of processes to attract and retain talent.
Work-life balance, flexibility, diversity and equality
- Development and implementation of HR management models that prioritize flexibility in the workplace and ensure best practices in the areas of equality and work-life balance.
- Pay audits: analysis of jobs in the context of the applicable labor legislation, pay register, and preparation of information to be included in the equality plan.
- Obtainment of Family-Friendly Employer certification and, in Spain, Equal Opportunity Employer status (under Royal Decree 1615/2009).
Strategic HR management
- Strategic plans and organizational models.
- Organizational structures.
- HR scorecards.
- Implementation of HR management tools and policies.
- Strategy-based competency catalogs.
- Definition of performance indicators and measurements by area and organizational level.