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Become A Compensation Director

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Working As A Compensation Director

  • Communicating with Supervisors, Peers, or Subordinates
  • Getting Information
  • Analyzing Data or Information
  • Making Decisions and Solving Problems
  • Establishing and Maintaining Interpersonal Relationships
  • Mostly Sitting

  • Make Decisions

  • $111,430

    Average Salary

What Does A Compensation Director Do

A Compensation Director designs, implements, and administers the organization's compensation programs. They may be specialized in specific areas, such as job classification or market pay studies.

How To Become A Compensation Director

Candidates need a combination of education and related work experience to become a compensation and benefits manager.

Education

Compensation and benefits managers need at least a bachelor’s degree for most positions, and some jobs require a master’s degree. Because not all undergraduate programs offer a degree in human resources, managers often have a bachelor’s degree in business administration, business management, finance, or a related field.

Some employers prefer to hire managers who have a master’s degree, particularly one with a concentration in human resources management, finance, or business administration (MBA).

Work Experience in a Related Occupation

Related work experience is essential for compensation and benefits managers. Managers often specialize in either compensation or benefits, depending on the type of experience they gain in previous jobs. For example, compensation and benefits managers often start out as compensation, benefits, and job analysis specialists. Work experience in other human resource fields, finance, or management is also helpful for getting a job as a compensation and benefits manager.

Licenses, Certifications, and Registrations

Although compensation and benefits managers are not legally required to be certified, certification can show expertise and credibility. Many employers prefer to hire certified candidates, and some positions may require certification.

Certification programs for management positions often require several years of related work experience to qualify for the certifying exam. Many professional associations for human resources workers offer certifications. Some associations, including the International Foundation of Employee Benefit Plans and WorldatWork, offer certification programs that specialize in compensation and benefits. Others, including the HR Certification Institute, offer general human resources credentials.  

Important Qualities

Analytical skills. Compensation and benefits managers must analyze data on salaries and the cost of benefits, and assess and devise programs that best fit an organization and its employees.

Business acumen. Compensation and benefits managers must manage a budget, build a case for their recommendations, and understand how compensation and benefits plans affect the company’s finances.

Communication skills. Compensation and benefits managers must direct staff, give presentations, and work with colleagues. For example, they may present the advantages of a certain pay scale to management and address any concerns.

Decisionmaking skills. Compensation and benefits managers must weigh the strengths and weaknesses of different pay structures and benefits plans and choose the best options for an organization. 

Leadership skills. Compensation and benefits managers must coordinate the work activities of their staff and properly administer compensation and benefits programs, ensuring work is completed accurately and on schedule.

Writing skills. Compensation and benefits managers must prepare clearly written informational materials on compensation and benefits plans for an organization’s employees. They must also clearly convey recommendations in written reports.

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Compensation Director jobs

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Compensation Director Demographics

Gender

  • Male

    53.3%
  • Female

    46.1%
  • Unknown

    0.6%

Ethnicity

  • White

    84.7%
  • Hispanic or Latino

    7.2%
  • Asian

    6.7%
  • Unknown

    1.0%
  • Black or African American

    0.4%
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Languages Spoken

  • Spanish

    25.0%
  • French

    25.0%
  • Portuguese

    12.5%
  • German

    12.5%
  • Dutch

    12.5%
  • Italian

    12.5%
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Compensation Director

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Compensation Director Education

Compensation Director

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Top Skills for A Compensation Director

HrisRegulatoryComplianceExecutiveCompensationProgramsCompensationPlansBenefitProgramsBasePayPerformanceManagementTotalRewardsCompensationCommitteeFinancialPlanDesignBusinessUnitsSalaryStructureGlobalCompensationJobEvaluationHumanResourcesIncentiveProgramsHealthcareIncentiveCompensationSalesCompensation

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Top Compensation Director Skills

  1. Hris
  2. Regulatory Compliance
  3. Executive Compensation Programs
You can check out examples of real life uses of top skills on resumes here:
  • Integrated and streamlined multiple disparate HRIS systems, resulting in significant cost savings
  • Maintained an in-depth knowledge of legal requirements to reduce risk and ensure regulatory compliance.
  • Developed documentation for Executive Compensation Programs.
  • Ensured accurate and efficient functioning of all executive compensation plans and components for senior executives.
  • Implemented voice response system for performance management and flexible benefit programs.

Top Compensation Director Employers

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Compensation Director Videos

Jeunesse Compensation Plan Overview with Diamond Director Kathleen Deggelman

Career Advice on becoming a Human Resources Manager by Jennifer C (Full Version)

CAREERS IN MBA HUMAN RESOURCE – BBM, CAT,Business Schools,Top Recruiters,Salary Package

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