employers would be found to have no basis of establishing the most effective way to determine salaries or wages. Many mistakes are made by managers in the Human Resource whenever establishing levels of employee compensation. The mistake is seen when considering the massive expenses incurred during employee compensation. Compensation is in fact considered the most expensive part of organizations expenditure (Chulik

2013). The issue of compensation being the most expensive part of organizations’ expenditures could be seen in the case of the United States Bureau of Statistics