Weighted Employee Pay Averages vs. Medians
Question: In my role as a Compensation Manager, I compare my company’s internal pay rates against the marketplace. But I’m always curious as to whether I should be using the Weighted Average or the Median as the “central measure of tendency”? Is one better than the other? Answer: Perhaps not “better” but there are good reasons to use one or the other. It depends upon how you value each of these measures, and to some extent upon what you are hoping to accomplish. Let’s look at