Compensation Shouldn’t Be This Painful | MPL Team

Balancing art & science in comp decisions

Ray Martinelli, CPO at Contentful, nailed it: comp is part art, part science.

• Science: Use market data to set levels and build a framework.
• Art: Stay flexible. Markets change fast. One day it’s all about marketing talent, the next it’s AI engineers.

He also highlighted the importance of differentiation. Fair pay doesn’t mean flat pay. If you don’t reward top performers, they’ll start wondering if it’s worth going above and beyond.

Lastly, empower your managers. Too often, they’re left out of comp decisions and can’t explain pay outcomes to their teams. That’s a missed opportunity.

Link to the full episode here.
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Pay-for-performance culture

Jessica Johansson, CHRO at Canada Goose, shared how they’re aligning performance and pay in a really interesting way. Her team combines manager ratings with Organizational Network Analysis (ONA) to guide variable pay decisions.

The big takeaway? Tying performance to pay really matters. Without that connection, performance reviews lose their impact.

Not sure what ONA is? Jessica breaks it all down in the full episode—definitely worth a listen!

Link to the full episode here.
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Getting rid of comp seasons biggest headaches

We all know how painful comp cycles can be. Even though comp makes up 60-80% of a company’s operating expenses, so many teams are stuck using outdated processes and tools—spending months just to get through a single review cycle.

That’s where CandorIQ comes in. They’re transforming how compensation is managed by solving some of the biggest headaches for HR teams:

• Saving time and money by simplifying workflows and cutting cycle times
• Empowering managers with the tools they need to handle comp decisions (and avoid endless back-and-forth with HR)
• Reducing errors and centralizing data for smoother, more efficient comp processes

If any of this resonates—or if you’re curious how modern HR leaders are tackling comp challenges—reply to this email, and one of us from the MPL team can jump on a call to share how the best teams are modernizing comp and headcount management.

The difference between distributive & procedural fairness

Jessica Zwaan, COO at Talentful, reminded us that comp is as much about perception as it is about pay.

• Distributive Fairness: Are outcomes reasonable? If your top performer gets a $150k bonus and the next person gets $12k, that’s going to raise eyebrows.
• Procedural Fairness: Did you follow a fair process? If employees trust the process, they’re more likely to accept the outcome—even if it’s not ideal.

Link to the full episode here.

Nail compensation conversations with the motivational pie chart

Delivering a raise? You’d think it’s a slam dunk, but sometimes the person leaves that conversation feeling worse.

David Hanrahan, CPO at Flare, shared a smart way to fix this: The Motivational Pie Chart.

• Employees create a pie chart showing what motivates them—money, work-life balance, career development, etc.
• They use red and green to rate how well those motivators are being met.

The results are often surprising. You might think cash is king, but if someone feels stagnant in their role, a raise won’t solve that.

Takeaway: Don’t assume. Ask what drives your team before you reward them.

Link to the full episode here.

What's sticking with you?

Comp is a hot topic, and we’d love to hear your thoughts. What’s working (or not) in your comp cycles? Reply to this email and let us know!

See you next week!