This glossary defines important terms used across Workleap Compensation. These definitions are designed to help you understand how compensation is structured, analyzed, and managed within the product.
Platform and systems
Term | Definition |
Workleap Compensation | A compensation management platform used to structure, analyze, and manage employee pay. |
ATS (Applicant Tracking System) | Software used to manage candidates during the hiring process. Examples: BambooHR, Greenhouse, Lever. |
HRIS (Human Resource Information System) | Software used to store and manage employee data. Examples: BambooHR, ADP, HiBob. |
Core compensation terms
Term | Definition |
Base Pay | Annual or hourly salary before bonuses, benefits, or equity. |
Variable Pay | Compensation based on performance, such as commissions or quota-based bonuses. Does not include bonus plan payouts. |
Bonus Target | Incentive pay tied to company goals. Can be a fixed amount (e.g., $10,000) or a percentage of Base Pay (e.g., 20%). Managed separately from Variable Pay. |
Pay Mix | The ratio of Base Pay to Variable Pay. |
Total Pay | Base Pay + Variable Pay. Also referred to as On-Target Earnings (OTE). |
Current Pay | Base salary before any variable compensation is added. |
Pay gaps
Term | Definition |
Base Pay Gap (Unadjusted) | The difference in base pay between women and men. |
Total Pay Gap (Unadjusted) | The difference in total pay (Base + Variable) between women and men. |
Job structure
Term | Definition |
Job Level | Indicates role seniority. Higher levels represent more senior roles. |
Job Level 0 | Used for roles below entry-level, such as interns or co-op students. |
Job Level N/A | Used when a role doesn’t fit into a specific job level. These roles do not have pay bands. |
Job Track | Career path type: Individual Contributor (IC) or Manager (M). |
Job Function | A group of related roles with similar work. Can be broader or more specific than a department. |
Job Location | Represents where employees work (e.g., city, region, office). |
Job Location Type | Defines whether the location is Office or Remote. |
Pay structure
Term | Definition |
Pay Band | The minimum, midpoint, and maximum pay for a given role. Also called salary ranges or bands. |
Pay Band Type | Indicates whether the band reflects Base Pay or Total Pay. |
Compa-ratio | An employee’s Base Pay divided by the midpoint of their Pay Band. |
Range Penetration |
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Pay zones
Term | Definition |
Pay Zone | A group of Job Locations with the same pay structure and currency. |
Pay Zone Currency | The currency used for employees in a given Pay Zone (e.g., CAD, USD, GBP). |
Primary Pay Zone | The base Pay Zone where Pay Bands are first defined. |
Secondary Pay Zone | A Pay Zone that uses a multiplier based on a Primary Pay Zone. |
Pay Zone Multiplier | A factor applied to adjust pay bands from a Primary Pay Zone. Example: 0.80 = 20% discount. |
Performance
Term | Definition |
Performance Ratings | Scores assigned to employees during performance reviews, usually imported from an external system. |