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“Drug costs have gotten quite out of hand, and there’s an acute focus from an employer lens that the industry really rally to get their arms around that and to do whatever possible to stave off any further exorbitant prescription drug spending,” Kelsay said.

It also means providing training about outside factors, such as the average pay within the industry for specific jobs, along with information about pay changes within the labor market.

Across industries, employee benefits account for more than 30% of the total employment cost in the United States (U.S.

“I wholeheartedly believe that every industry can do this,” Whelehan said.

The following adjustments approaches are commonly seen in the industry: ;Trending sales to predict the territory performance in absence of the disaster, leveraging the prior three to 12 months of sales and factoring in national performance.; ;Providing a floor on earnings at 75% to 100% of target pay for the impact period (in the event of a highly disruptive disaster, providing pay when it’s needed is likely greatly valued).; ;Utilizing guidance from the Federal Emergency Management Agency (FEMA) or data providers on the geographies impacted and the level of impact (a combination of external guidance and internal analytics is often helpful).; ;Paying based on the average national or regional performance.; Differences in Disruption and IC Approach Over a period of years, most sales organizations have likely established practices to manage natural disasters that have short-term impact (e.g., winter storms, tropical storms and hurricanes), and many of these practices can apply for wildfires

Check out other Workspan Daily articles from Total Rewards ’25: The Keys to Creativity and Driving Innovative Total Rewards;The Monumental Mission of Meaningful Mentorships;Proactive TR Pros See ‘Train’ of Change Coming, Take Steps to Act;The Pros and Cons of Giving Managers Discretion on Merit Increases;Using Analytics, Innovative Framework to Transform HR/Total Rewards;How An Industry Leader Sees Technology Transforming Total Rewards;Biopharma Compensation Leader Has Put AI Under the Microscope;Boldyn Networks Offers a Bolder Approach to Employee Well-Being; Know Your Audience When communicating TR strategy with the CEO or a room of top executives, Terry and Walker advised to start with the basics.

.; ;External auditors and regulators , in certain industries, may also play a role in reviewing compensation practices and enforcing applicable compliance requirements.; Compensation programs impact the entire organization, and stakeholders share responsibilities for managing related risks.

This formal move formally concludes a prolonged legal battle that began after the rule was finalized in 2024 and quickly faced challenges from industry groups.

However, attention should be paid not only to highlight country differences, as there might be other underlying factors playing a role in determining differences in compensation, such as business size, industry or different structures of ownership across countries.

Meanwhile, companies with industries prone to ongoing disruptions should consider adopting a “trigger policy.”