Pay Scales – discussion

Imaginethat you manage human resources for a small business. You have recentlyprepared a report on the market rate of pay for salespeople, and thecompany’s owner says the market rate is too high. The company cannotafford this level of pay, and furthermore, paying that much would causesalespeople to earn more than most of the company’s managers. Why isthis a problem? Should managers automatically be at the top of the payscale? Suggest three possible measures the company might take to helpresolve this conflict