Deviation and Exception

Deviation and Exception —From Identified Difference to Decision

A deviation is the distance between a specific compensation amount and a selected benchmark, such as the group median. An exception is a documented assessment of a specific case, complete with a justification and approval. The first figure is obtained through calculation; the second requires an examination of the circumstances and a decision by the responsible person.

How to Interpret a Deviation

Always include the reference and the unit. The figure “25 Kč more per hour” only makes sense when accompanied by information about the group, period, and component against which it was calculated.

What to Note During the Assessment

Record the basis for the discrepancy, who assessed it, and what next steps are required. For temporary reasons, also include the date when it is to be reviewed again.

Temporary Substitution Bonus

The median total hourly pay in the group is 250 CZK. The employee receives 275 Kč, which is 10% more. The supervisor provides documentation authorizing her to substitute for the foreman and specifying the amount of the bonus. HR verifies that the bonus covers the period in question and reviews the next paycheck after the substitution ends.

Is it sufficient to mark the difference as an approved exception?

Approval reflects an internal decision. The substantive reasonableness of the justification must be assessed separately. If the difference cannot be explained, the case should be referred for correction.

When assessing the case, the choice of reference is key. Within the company, you can use the median compensation; for market comparison, use a salary benchmark.